Credit Card Debt in Texas
Credit card debt has become a huge problem for consumers in the state of Texas. Banks have taken advantage of weak federal finance laws which has resulted in an explosion of predatory lending...loaning money at unreasonably high interest rates to consumers who they know lack the ability to repay. Consumers then use these credit cards and maintain high balances by only paying minimum monthly payments, without a true understanding of how long it will take to repay the entire debt.
Most people have every intention of repaying their credit card debt until an unavoidable life-changing event takes place. Someone loses their job... Another person becomes disabled and cannot work... A family member falls ill and needs around-the-clock care. Suddenly the consumer has to prioritize paying their mortgage and other necessary bills, and that's when the credit card balance starts to balloon. Interest and late fees start adding up every month, and now you can no longer afford even the minimum payment.
Banks, over the past 10 years, have substantially increased the amount of lawsuits they file to collect delinquent credit card debt.
Travis Bryan Managing Partner
If this is where the story ended it wouldn’t be all that bad. Yes, your credit score would take a hit. And yes, collection phones calls day and night can become quite a nuisance. The truth, though, is that these are just minor inconveniences while you work to get back on your financial feet. Unfortunately, that simply isn't good enough for these greedy creditors.
Banks, over the past 10 years, have substantially increased the amount of lawsuits they file to collect delinquent credit card debt. Some banks and credit unions have resorted to filing suit directly against their consumers. These lawsuits happen quickly, often occurring after only 4 months of non-payment.
Other banks sell their credit card debt to debt buyers. These debt buyers purchase portfolios of delinquent credit card debt for pennies on the dollar. In turn, they file lawsuits against consumers to collect the full amount owed. While the underlying credit card debt may be legitimate, debt buyers have a difficult time proving that they are entitled to collect on it. Because they buy credit card debt in bulk, they typically cannot produce proper evidence that they own a specific credit card account.
Credit card debt protections for consumers are being torn apart by the federal government. The Consumer Finance Protection Bureau, charged with the task of cleaning up Wall Street after the financial crisis, is currently being dismantled. Laws are being passed every day that make it easier for these finance companies to force you to pay. The good news is that you still have someone on your side! Johnson & Bryan is a debt relief law firm, and all we do is fight these credit card companies to protect your rights.
Our attorneys will aggressively defend you against credit card lawsuits and force these companies to prove their case in court. Credit card companies very rarely have the required documentation to prove their lawsuit and without it they are entitled to NOTHING! We will attack their case every step of the way and make them prove they are legally entitled to collect on the debt. You will find that your credit card company is suddenly much more willing to negotiate once you have an actual attorney by your side. We'll also ensure all the harassment stops immediately, and all contact regarding the debt goes through us. Ultimately, our firm will either force the credit card company to dismiss their lawsuit, or negotiate a settlement of the original debt for an amount you can actually afford to pay.
If you are facing a lawsuit from a credit card or charge account here in Texas, don't wait until it's too late. Contact the experienced debt relief attorneys of Johnson & Bryan today for a free evaluation of your case.
The information contained in this web page is for general information and educational purposes and is not legal advice. Reading these posts does not create an attorney / client relationship with the law firm of Johnson & Bryan.