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How to get out of credit card debt without paying? In summary, you have three credit card debt relief programs to choose from, and there’s the option of stopping payment on all of your cards and doing nothing. The following credit card relief strategies are ideal for anyone that can’t afford to pay their monthly payments in full. We will also explain the pros and cons of each option and warn you of the dangers that can arise when walking away from credit cards without paying.

  1. Debt settlement programs allow a person to stop paying their credit cards and over three to five years pay back a portion of the balances. Credit card accounts will get written off and sold to third-party collection agencies after a person stops paying monthly payments, and this happens within 4-6 months.  Credit card companies can then recoup losses through tax credits, insurance, and by selling delinquent credit card accounts to third-party collection agencies.  Michelle Black, from explains; When you settle your debt, you can sometimes pay 50% or less of the original balance. You may, however, have to pay taxes on the forgiven amount.” Unfortunately, potential tax consequences are just one of several downsides to debt negotiation programs. Another major downside to debt settlement is that credit reports are left with late and collection marks. Make sure to stick with the plan if you decide to join a settlement program because canceling before the end could leave you in worse financial shape. Choose a BBB highly rated debt settlement company to maximize your chance of success with the program.
  2. Debt validation programs offer you a less expensive credit card debt solution than settlement plans because you walk away from the debt without paying anything, besides the company’s fees. Instead of settling credit card debt, validation disputes it. In the end, consumers can get out of credit card debt without paying, besides for “the company’s fees.” Late marks and collection accounts can also get removed from credit reports after an account is invalidated. There are also no tax consequences on an invalidated debt.
  3. Chapter 7 bankruptcy makes it possible for a person to get out of credit card debt without paying any of it back. However, consumers will pay the price of bankruptcy in two ways; 1.) seven-ten years of negative credit and 2.) up-front bankruptcy attorney fees. According to Sean Pyles, a debt writer at NerdWallet “Filing for Chapter 7 bankruptcy wipes out unsecured debt such as credit cards, but not without consequence. Chapter 13 bankruptcy can help you restructure your debts into a payment plan over 3 to 5 years and may be best if you have assets you want to retain. It can stay on your credit report for 7 to 10 years, though your credit score is likely to bounce back in the months after filing. Some debts, such as student loans and tax debt, typically can’t be erased in bankruptcy”.

For more options, check out the 10 Best Ways to Clear Credit Card Debt – After COVID-19.

What happens if stop paying your credit cards and do nothing?

Dori Zinn, from, explains: “If you stop paying your credit card bill, it gets turned into collections and your credit score tanks. But there’s a statute of limitations for how long creditors can sue you for outstanding credit card debt, which varies from 3-10 years in most states. You could skip payments, but you might be liable for them later. Even at that point, if you are sued for outstanding payment, you most likely wouldn’t win the case.

Will you eventually get sued over unpaid credit card balances if you don’t do anything at all?

There’s a good chance that you will get sued over an unpaid credit card balance before the statute of limitations expires. Consequently, consider one of the above-mentioned credit card relief options. You can still get sued after joining a debt relief program but the longer you let the unpaid bill sit the more likely your chance of getting sued is.

And of course, reputable debt relief programs include some type of lawsuit defense, where an attorney is involved and will either settle the summons before the court date or use legal violations to get a bad debt dismissed.

Am I more likely to get sued with validation or settlement?

Another benefit of validation programs is that immediately after accounts are sent to third-party collection status they get disputed. After an account is disputed all collection activity must stop until the creditor validates it. On the flip side, with a settlement program, only one account at a time is negotiated on and dealt with. Consequently, some accounts may sit for over two years with a settlement program before any action is taken towards resolving it.

Am I more likely to get sued over a larger balance?

The process of seeking compensation through the court system takes time and resources, which means that the likelihood of being sued increases with the size of your delinquent debt. Should you assume that a creditor won’t sue you? No. Definitely don’t do that. Having your wages garnished isn’t the end of the world, but you should seek to avoid it at all costs,” explains Jesse Campbell from Money Management International.

How to get approved for a program to help you pay less than the total owed on credit card bills?

You can also speak with a debt counselor at Golden Financial Services (GFS) for a free consultation at (866) 376-9846. Enroll in a debt relief program to help you deal with high credit card bills. GFS is an A+ Better Business Bureau-rated company, a TX licensed debt management company, and in business since 2004.

Can you afford to pay at least minimum payments?

Consider the debt snowball method if you can afford to pay at least minimum payments on credit cards. You can even use Golden Financial’s Free Snowball Calculator Tool to assist you with this option.

What happens if you don’t pay your credit card debt?

Over 1-6 months after you stop making payments: 

The original creditors will call and send letters over the next three to six months after you stop paying on your credit card payments. Every month late fees and interest will continue to accrue, so your balances will continue to grow. Within approximately six months, the original creditor (i.e., the credit card company) will write off the debt.

Can you be sued over credit card debt?

After you stop paying your credit cards, there’s a chance that creditors will issue a credit card summons. If this happens, don’t skip court. Show up to court and explain your hardship to the judge. Credit card lawsuits can get dismissed. They are often filled with errors and incomplete records. If you receive a credit card summons while enrolled in a debt relief program, lawsuit defense is included.

You could get a default judgment against you if you skip court. A judgment could result in a lien on your property. Therefore, never skip court. Just show up.

Will credit card companies forgive debt?

Credit card companies may forgive a portion of a credit card debt, but in most cases, they are paid back two to three times what is owed. Yes, that’s right, two to three times what is owed! And that’s even after you walk away from the credit card debt without paying.

How is that possible?

Here’s how.

First off, creditors write off a debt to show a loss and get reimbursed on the debt through tax credits.

Secondly, creditors have banking insurance. Creditors can get reimbursed a second time through insurance. Similar to if you wreck a car and your insurance pays you a check for the price of the car, banks have insurance and can get reimbursed for unpaid debt.

Thirdly, creditors will sell delinquent credit card accounts to a third-party collection agency, bringing in more profit. Collection agencies may only pay ten cents on the dollar for a credit card debt. Consequently, collection agencies will settle that same debt for 40%-70% in some cases, not counting debt settlement program fees.

By the time an account ends up in third-party collection status, it’s no longer the original creditor coming after you. They have been paid back and will have wiped their hands clean of the debt.

At this point, a third-party debt collection agency will start sending you letters and calling. The collection agency may send you letters willing to settle for a fraction of the total owed, as explained above but think twice before settling a debt. Even after you settle an account, the late marks and collection accounts remain on credit reports for up to seven years. Start with validation, you may be able to get out of credit card debt without paying, aside from the program’s cost.

How to get out of credit card debt without paying?

If you can’t afford to pay your credit cards, your most strategic option would be to enroll in a debt validation program before you receive a summons. The sooner you enroll, the better! The validation program will dispute all of your debts after they are sold to third-party collection agencies. Meanwhile, you’re only making one affordable monthly program payment.

How to get out of credit card debt without paying?
Debt validation programs can help you get out of credit card debt without paying after accounts are sent to third-party collection status.

Most of the time, these third-party collection agencies can’t prove the debt is valid. The result – the debt becomes legally uncollectible and does not have to get paid. Clients only end up paying the cost of the program, which you can receive a quote on by visiting our debt calculator page here.

For a Free Consultation, Speak to an Experienced Counselor Toll-Free (866) 376-9846.

As a last resort, debt settlement programs can allow a person to pay back approximately 70% of their debt, including settlement fees. The bad news about debt settlement is that even after your bills are settled and satisfied, the late marks and collection accounts remain on credit reports for up to seven years. You could also owe taxes on the amount saved.

For more information about debt validation services, visit this page next.

Both debt validation and settlement programs have downsides, which you can read about at





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