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Old 06-23-2007, 04:23 PM
 
Location: North of The Border
253 posts, read 1,549,856 times
Reputation: 426

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Two years ago I became overwhelmed with the debt on my credit cards, so I just stopped paying the monthly bills. Then I moved, got a new job, and have never been traced by any debt collectors.

How long will my passive resistance last before I'm found? Do creditors just sit on inactive balances and write them off as bad debt after a certain number of years? I'll probably just file for BK if things ever get bad, but for now I just pretend the debt doesn't exist.

I have a friend who also has massive credit card debt, except he is bombarded daily with phonecalls that he never answers and even a process server at his front door, which he ignored. He eventually had a wage garnishment against him.

Why hasn't any of this action happened to me from my creditors?
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Old 06-23-2007, 05:10 PM
 
Location: Tennessee
4,739 posts, read 7,117,275 times
Reputation: 2938
They close them off their books then sell them off for pennys on the dollar to other agencies that again try and collect the debt and it could drag out for ever.
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Old 06-23-2007, 09:06 PM
 
Location: Sacramento
13,720 posts, read 22,130,966 times
Reputation: 5964
It will, they will link to your SSN and find out where you are employed. At that point they will probably start to nag you.
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Old 06-23-2007, 09:13 PM
 
911 posts, read 3,100,149 times
Reputation: 169
Quote:
Originally Posted by gnubler View Post
Two years ago I became overwhelmed with the debt on my credit cards, so I just stopped paying the monthly bills. Then I moved, got a new job, and have never been traced by any debt collectors.

How long will my passive resistance last before I'm found? Do creditors just sit on inactive balances and write them off as bad debt after a certain number of years? I'll probably just file for BK if things ever get bad, but for now I just pretend the debt doesn't exist.

I have a friend who also has massive credit card debt, except he is bombarded daily with phonecalls that he never answers and even a process server at his front door, which he ignored. He eventually had a wage garnishment against him.

Why hasn't any of this action happened to me from my creditors?
Your very good at what you do...Stay "undercover" for a few more and you'll be home free...
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Old 06-24-2007, 05:28 AM
 
Location: NE Florida
17,835 posts, read 28,280,320 times
Reputation: 43246
I would be more worried about the effect this has had on your credit report.
Now days even companies pull credit reports before hiring. Insurance companies will someitmes use a persons credit report in determining rates.
Depending on the balances and the orginal creditors the collection agency that probably have the accounts will assign someone to "skip trace" you
It is amazing how they can track someone down. Remember ever time somone pulls your credit this shows as an Inquire. A savy "skip tracer" will use these inquiries to find you. If you are living in an apt when you applied it will show or if you bought a home the mortgage will show. If the balances are large enough and they see you have assets there is the chance they will send the account to Litigation.
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Old 06-24-2007, 08:34 AM
 
Location: Missouri
6,045 posts, read 20,226,466 times
Reputation: 4972
Eventually they will find you. It's not hard for a motivated collection agency to do. Why live with the stress of this hanging over your head? Start saving up now, and then pay it off when you are able.
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Old 06-24-2007, 01:33 PM
 
Location: NE Florida
17,835 posts, read 28,280,320 times
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Oh better yet go to the local Consumer Credit Counsuling office and they can help. They are a non-profit, stay away from the ones that have popped up all over. CCCS is part of United Way
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Old 06-25-2007, 08:54 AM
D_J
 
Location: Michigan
58 posts, read 574,567 times
Reputation: 49
Quote:
Originally Posted by myfask View Post
I would be more worried about the effect this has had on your credit report.
Now days even companies pull credit reports before hiring. Insurance companies will sometimes use a persons credit report in determining rates.
Depending on the balances and the original creditors the collection agency that probably have the accounts will assign someone to "skip trace" you
It is amazing how they can track someone down. Remember ever time someone pulls your credit this shows as an Inquire. A savvy "skip tracer" will use these inquiries to find you. If you are living in an apt when you applied it will show or if you bought a home the mortgage will show. If the balances are large enough and they see you have assets there is the chance they will send the account to Litigation.
As always another good post Myfask. Any time you have your credit pulled, for whatever reason, your current address is inputed. It then will show up on your credit report where your debtors will then be able to track you down. Never think that you are getting away with not paying. If the balance is significant enough then they will find you and come after their money. Even with the new BK laws, just because you file for BK doesn't eliminate the debt anymore, it just keep them from harassing you for the money more less.
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Old 06-25-2007, 02:31 PM
 
5,092 posts, read 9,153,257 times
Reputation: 3928
Real deal is all states have "Limitations" aka "Statue of Limitations" typically four (4) years on suits for collection of debts. That four years is based on the last activity on your account. So if you are going to cut and run -- it is best to do as you did -- cold and hard. If any individual debt is below any creditor's threshold to sue you in court, they will not bother. They are making SO MUCH money getting to screw the rest of America with 20 to 30% interest rates and other charges, blowing off several thousand on you just does not matter. A personal profile of low wages, and no titled property in your name will give you a "nolo denario" (joke Latin for "no money") status, and collectors will not bother more than a few letters and some phone calls before moving on to better collection targets.

Small individual creditors tend to be more persistent that the big corporate cards. That is because to small creditors, it may feel personal and they may be more truly harmed. My bias on this type advise, is to pay little folks you owe, and wait out the big ones. Before a judgment is filed (required prior to wage grabs) there will be court notices, hearings, and trail notice sent to you, and you can usually settle for less than the full face value of any of the debts the suit may be related to.

Other than tax liens, child support and student loans, the debts will no longer be legally collectible after the limitations period, and in seven years, normal credit charge-offs will removed from your credit report. But here is the funny part -- the same folks you have not paid this time, will be standing in line to give you credit cards and start the whole mess over, years before that.

As far as higher charges for insurance with bad credit listings -- some insurers do and some do not. Many of the on-line quote systems will even show you how much they mark up for bad credit as part of the quote process and you can shop accordingly.
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Old 06-25-2007, 02:46 PM
 
4,066 posts, read 10,826,424 times
Reputation: 2257
Can't the creidt card companies file a judgement? And that would then "stick" with you?
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