By Admin on Feb 15, 2010 in Credit
Edwin asked:
I have two chase credit card i was doing my payment on time that was untill i got laid off,So now its been like a year since ive made a payment. So now it has reached the chase recovery department I guess my main question is can they take away my tax return. And what can i do about it is it possibel to make arrangement of payment because i do want to pay them off.
http://1mortgagecalculator.info
I have two chase credit card i was doing my payment on time that was untill i got laid off,So now its been like a year since ive made a payment. So now it has reached the chase recovery department I guess my main question is can they take away my tax return. And what can i do about it is it possibel to make arrangement of payment because i do want to pay them off.
http://1mortgagecalculator.info
Copyright
Credit Card companies cannot have the IRS do their collections.
AFTER they sue you in court and win a judgement (and yes, you’d know if this happened), they can get a judgment and levy your bank account and if your refund happens to be int here, they can get it.
the tax lady | Feb 17, 2010 | Reply
They will not take your tax return.
If you want to set up a payment arrangement, they’ll probably be glad to work with you. Call them at the number on your statement or on the back of your card.
rtfm | Feb 18, 2010 | Reply
They will not come after your tax returns. However, they CAN get them after suing you and getting a judgement on your account. If I was you, I would do one of the following:
1) PIF. Payment in Full: Get rid of it all together and then not worry about it. Problem with this is you will be paying so much interest money to them but hey you should find out what your principal is and how much interest has accrued on it. Sometimes the interest isn’t bad whatsoever but since its a credit card, they could be charging you like 28% interest. That’s a lot.
2) SIF. Settlement in Full: Settle it in full or you can spread out the payments over time. Negotiate. That’s the key. Whatever amoutn they tell you for this, you need to go even lower until he cannot give u any lower payment amount. Once you get that, spread it out over couple months to three, four or even five six months and pay it off. Works good. Problem with this is, you could get an R9 on your credit report which in simpler words means “Hey this guy is good with borrowing money but doesn’t pay all of it back”… basically! But it does take care of a lot of things. your credit score and ur credit report. R9 might not be too bad of a thing in your case
3) Minimum Payments: Problem with this is… you pay every penny that u owe over time and that time is VERY long. I know a friend who’s making credit card payments for the next 5 years on this ONE card he used 50% of the credit line on so i dont know. Enrolling into this though has its own benefits. They stop charging you interest and late fees. Its convenient and your minimum payments could possibly be only 1.29% of your principal everymonth or worst come to worst 3% of your principal every month. Either way, sounds good to me. Collections department does have its minimum standard and it could be higher than 1.29%. Just something you have to discuss w/ them.
BUT… don’t forget… NEGOTIATION is the key. Do not settle for what they tell you the first time. Talk talk and talk. Talk yourself out of what they’re telling you and talk them into a lower payment per month until u see what is doable and please BE REASONABLE. haha.. Gluck!
balla178 | Feb 20, 2010 | Reply
The cannot take the tax money from the government and they cannot take it before it reaches you or your bank account. If you have it direct deposited in a bank account or you receive a check and deposit that in a bank account, then they may be able to go after the bank account and get the money that way.
StephenWeinstein | Feb 21, 2010 | Reply
They need to sue you before they can try garnishing a paycheck or levying a bank account. And, no, they cannot take your tax return.
My Take on It | Feb 21, 2010 | Reply