If my company credit card goes to collection can I use a debt consolidation service to pay it off?
Question:
I contacted a debt management program and am working on paying off the debt over the next 12 months. Meanwhile, this woman keeps calling me and now she's apparently (according to her latest voice-mail) set up a conference call with my corp office tomorrow.
I'm just wondering if there's some reason using a lump sum settlement won't work on a corporate card?
Answer:
Debt Settlement, also called debt negotiation is an arrangement between a debtor and a creditor to repay a debt generally for a for a lowered payoff amount. When a debtor is not able to pay the debt any more for any reasons, debt settlement is the only option that remains.
Generally, only unsecured debts, like those accrued with credit cards , can be negotiated for settlement. This is because of the fact that there is no security attached with unsecured debts. Hence, the lender can't repossess anything. On the other hand secured debts, like home loans, mortgages, car loans etc. have a collateral attached to them and can be repossessed by the lender if a default on debt occurs. So, there is no debt settlement or negotiation with secured debts. Read more about it at: http://www.credit-card-gallery.com/artic...
why not use debt consolidation to pay it off BEFORE it goes to collection?
see if your company can help you out. it is there card if you default.
Depends upon your company's policy on personal credit card use. Some companies do not allow it and there can be consequences (lose your job, garnish your wages). Can't you borrow from a bank to settle the card?
if your going to do a debt consolidation loan why would you not include this credit card?
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