So if all the credit is drying up --- why even bother trying to pay?

[cityish]

Most of my credit cards and loans are in default, nearing the point of charge-off, plus I have a foreclosure going on.

However I have two smaller balances on a Juniper card and a Macy's store card --- $1,000 balance a piece, monthly payments of $30 each -- and I'm able to manage those right now, so I've been paying them and keeping them up.

But last week I saw Suze Orman on TV, she was talking about the financial crisis, and she said that one of the long term effects is that credit is going to be much harder to obtain -- and that for people (like me ) with really bad `credit scores, their accounts will be closed because they would be considred a risk.

Those weren't her exact words but it was something to that effect.

I was left with the feeling of -- so then why am I even bothering trying to maintain the farce of keeping up my last two credit cards?

When I pay on my Macy's and Juniper, will it make me more likely to get sued by the other creditors?

I feel I should pay those two cards because I can afford it. But I wonder sometimes if it's going to amount to a hill of beans in the big scheme of things.

[fltoo]

If you have decided to file a BK, you should have stopped paying all the credit cards. Search the forum for preferential payments, although 30. really doesn't matter. But, why throw good money down the drain?

[ready2puke]

I stopped paying on my smaller acts the same time I did on my larger ones. AX is like a hound dog for under 700. and my smaller Citi are calling too.....

[KP1980]

They can close your accounts so you cant use them, but you will still owe a balance.

[Tbornetun]

You will always owe the debt unless if you file BK or pay the debt. There are no other options for getting rid of debt.

[Tbornetun]

There is only a statute of limitations for the length of time that a creditor has to sue you. The debt will always remain if it is unpaid.

[cityish]

If the statute of limitations runs out and the creditors'/collection agencies' hands are tied, I think it's safe to say you got rid of the debt.

[HHM]

If the statute of limitations runs out and the creditors'/collection agencies' hands are tied, I think it's safe to say you got rid of the debt.

Yes and no. Unless you are prepared to sue a collection agency for attempting to collect a debt that is past the SOL, you will still receive calls and every attempt to collect the debt non-judicially. And even if you got the CA to back off, they will just sell to another CA.

[All Cash]

There is only a statute of limitations for the length of time that a creditor has to sue you. The debt will always remain if it is unpaid.

The debt in question can only remain on your credit report fro 7.5 years from the initial date of first delinquency.

Federal tax liens are 7 years from the satisfied date. 10 years to actually collect a debt, and 15 years for a unpaid tax lien to fall of your credit file.

[Tbornetun]

Regardless of whether it is on the credit report or not, as I said, the debt still remains. I have seen debt be passed from CA to CA for over 16 years.

[debtmonster]

Regardless of whether it is on the credit report or not, as I said, the debt still remains. I have seen debt be passed from CA to CA for over 16 years.

I had over 30+ negative items removed from my credit reports. Just like you said, just because it's not on the credit report, the debt still remains. That's why I finally broke down and got the BK process rolling. After months and months of fighting with my wife to do this, she finally broke down as it was destroying our marriage. She talked with many of her friends and family and they finally told her it was a good idea.

I have tons of old debts from a previous marriage that I am dying to discharge.