What happens when you enter into a debt consolidation program? Debt consolidation companies often promise to consolidate your debts and negotiate settlements with your creditors. These companies frequently advise people to stop paying their debts and to make monthly...

What is a debt consolidation program?  There are many companies who promise to consolidate a person’s debts and negotiate settlements with creditors through a debt consolidation program.  Often, the agreement with the debt consolidation company involves an individual...

What is a Warrant in Debt? Under Virginia law, a creditor can take you to court to collect money that is owed. Generally, the document a creditor will file with the court is a warrant in debt. Creditors do this to collect unpaid debts.  This lawsuit is a civil case...

Can an unpaid debt impact my house? Yes. Under Virginia laws, an unpaid debt, such as a medical bill, credit card debt, or a balance owed for an old car, can become attached to your home. If a creditor gets a judgment against you for money owed, the debt can become a...

What happens if you fall behind on your mortgage payments? If you fall behind on your mortgage payments, your mortgage company can initiate foreclosure proceedings. This means that your mortgage company can begin working toward foreclosing upon your house. At a...

When are creditors allowed to garnish your wages or funds in your bank account in Virginia? A creditor can garnish your wages or funds in your bank account to collect on an unpaid debt after the court has entered a judgment against you. A judgment is an order entered...

Can a debt you owe be sold to a different company without your permission?  Yes. A creditor can transfer the debt you owe them to another entity without your permission. It is common for a creditor to transfer an unpaid debt to a debt buyer. Following the transfer,...

Can I keep my car if I file Chapter 13 bankruptcy? Keeping your vehicle and paying less than the full balance owed on your vehicle loan is within the realm of possibility in a Chapter 13 bankruptcy case. In some instances, it is also possible to lower your vehicle...

Does a creditor have to report your debt to the credit bureaus?  Creditors are not required to report your debts to the credit bureaus. Your creditors can decide whether to report your debts to all three major credit bureaus (Equifax, Experian, and TransUnion), to one...

Is Credit Reporting Inaccuracy Really a Thing? Yes. Unfortunately, it is possible for inaccurate information to be included on your credit report and negatively impact your credit rating. There is probably no worse time to discover an error on your credit report than...

Is it Possible to Get Your Credit Back on Track?  Throughout life there are various things that can happen—many of which are outside of your control—that can cause your credit to fall off track. Life events such as job loss, divorce, and illness can impact anyone and...

How Is My Credit Score Determined?   An important first step for building credit is knowing the rules of the game and what is considered when calculating your credit score. Just like most situations in which a score is calculated, once you know what you need to do to...