Re: Credit Card companies' ability to recover

Yes, they can sue you for the balnce due. Secured or unsecured only deals with collateral for the amount owed. You are still legally responsible for the debt.

Re: Credit Card companies' ability to recover

If you are in default of your payment arrangements the credit card company can sue. Unsecured is a term that describes the type of credit that is extended. A secured credit obligation still has to be sued upon to collect. Secured credit obligations are usually credit secured by pledging assets such as real estate to insure the debt is paid. Unsecured lines of credit is a situation where funds are loaned to you but have no asset guarantee that it will be paid. If the credit card company sues and obtains a judgement against you that judgement would be a lien against your real estate. Bank accounts and personal assets can also be attached to enforce payment of that debt. Suggest you obtain legal counsel to advise you as to all of your risk of exposure. Do not ignore the attorney and most important do not ignore the law suit that might follow. If I can be of any assistence, please call me at 215-579-9390 or email me. Good luck.

Re: Credit Card companies' ability to recover

Unsecured simply means that they do not have a lien on any of your assets. Typical examples of secured debts are car loans and mortgages.

Therefore, as long as the debt is unpaid, and the creditor is within the statute of limitations, it may legally collect the debt.

I trust this has been helpful but feel free to call or e-mail on a free intial basis.