I'm new to this site, so THANKS in advance for any help on how to handle this situation. OK...here's the deal. We (my wife & I) have gone from 2 incomes to 1. We have ALWAYS paid our bills on time, never once missing or making a late pymt in 12 yrs of marriage. Initially, we used our immediate savings to offset the monthly expenses, then that ran out, so we had to dip into our retirement. We decided last year to quit using our retirement to pay the bills, so with the 1 income, we pay the necessities & have let the CCs go unpaid. Its been approx 5-6 months now with no pymts, but stayed current on 1st & 2nd mortgage. Now, we're looking into Short Sale to get out of that situation, but need to deal with the CCs, which we HAVE NOT used at all for any purchases since we stopped making pymts. And with no job on the horizon, we'll still at 1 income.
We have been receiving daily phone calls (which we let go to vm, never taking a call yet) & have now received our 1st letter from Citibank which reads:
"Unfortunately, we have been unable to establish an acceptable arrangement for repayment of the above referenced AT&T Universal Card account. Unless such arrangement is established within 30 calendar days from the date of this letter, we will refer your account to an attorney licensed in your state for further collection efforts including a possible lawsuit to obtain a judgement.
If you wish to avoid the consequences of your account being referred to an attorney for collection, contact us immediately at the toll-free number shown below to arrange for pymt."
Our questions is this....will Citibank send our debt straight to a CA for them to "collect or settle" or to an attorney like they state above? Or, are CA & attorney one in the same in this context?
Look forward to your input...thanks again!!