What happens if I can't pay my credit cards?

Sure they are going to call you. Just hang up on them or don't answer. If you can't pay you can't pay. The collector on the line is some minimum wage worker who couldn't care a less about your situation so don't waste your breath trying to offer an excuse. They can't take your car. The most they can do is take you to court. This takes time and by then you may be in a different place. They will take a settlement in the future. They can't take your tax return unless they get a judgement from you. As for your credit score....sure this is going to put a dent in it but you don't need to be borrowing any money right now anyway.

I suggest in the mean time you get yourself on a budget. Pay utilities, food, shelter, car first and if you don't have any left over you will have to get another source of income.

I listen to dave ramsey. You can go to daveramsey.com and listen to his radio show. He is awesome and can give you the tools to get out of this mess.

It is only temporary if you start a plan now.

Most likely, they will send your case to collections (as long as the amount isn't that big, you should be fine ie not going to court). They are going to call you for a long time trying to collect the money. Your credit score it going to really suffer. They can't take your car because it is unsecured debt.

If you can't pay your credit cards, you may want to file bankruptcy to avoid all the mess that comes with collections. This is really going to hurt your credit score but your debt will be forgiven (and PLEASE learn your lesson. This is why the economy sucks and the good people like me who pay on time get screwed with hiked rates and lower credit limits).

I would suggest that you contact all your credit card companies. Tell them you are having problems paying and see if they will work with you. They can lower your credit APR rates and even your monthly payments. They may require you to close your credit card account, but that is better than not paying at all.

I have also had a couple of friends who did the consolidation thing. It really does help. They work with the credit card companies and get everything in one monthly payment that you can handle. You are required to cancel your credit cards and it will hurt your credit score but you have no other options. One friend is already out of debt and another has a few more months. She can get credit cards again but you need to be more careful.

Trust me, you want to avoid creditors if you can (not my own experience, but people I know). They do harrass you but know your rights. They can only call you during certain times of the day. Tell them they can not call you at work. You can even tell them to write you and not call at all.

http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cr...

They can't take your car (good news). They will probably harass you for at least 7 or 8 years, until the statue of limitation runs out. They can go to court and get a judgment against you, but if you don't have cash to pay with, they can't do much about it. Oh, and your credit score will low which means you'll probably won't be able to get a loan for anything for several years.

in case you end paying your credit card debt you could assume to be deluged with telephone calls out of your lenders stressful fee. besides, you could assume that derogatory entries would be made with the credit reporting bureaus against your call. because of fact of those entries you will discover it puzzling, if no longer impossible, to receive any credit figuring out to purchase from others. The credit enjoying cards whose installment money you nevertheless make in a well timed way is definitely no longer that tormented via your failure to pay the different credit card money owed. yet you in all probability is definitely no longer waiting to receive any further credit enjoying cards or different credit. Why no longer touch your lenders and attempt to barter some compromise to p.c. this financial concern? If that fails which you should to contemplate submitting for financial disaster to sparkling your call of those money owed.

They can ruin your credit for 7 years. They can sue you in court and garnish you wages and tax returns. This will not be a "rest of your life" issue.

Let me add one important point.

Employers check your credit reports.

Having judgements against you will make it harder for you to land a job dealing with money or goods that can be stolen.

Also, you will have trouble finding an apartment.

Not to mention, you will pay more for car insurance.

Someday you may want to buy a home.

With all this on your credit reports you may not be able to reach that goal.

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Collections, lawsuits, judgments, wage garnishment.