Posted on January 22, 2010 at 2:38 am What's debt in default? Is a month of non-payment already considered a default? If so, then my account is always on default and I get it current - only to default again. It's a loop, that I just wish to end. Can you help?

Posted on January 22, 2010 at 4:26 am The free dictionary defines "default" as the failure to pay money when it is due. Due dates are usually each month - so I guess that answers your question "Is a month of non-payment already considered a default?"

Posted on January 22, 2010 at 4:30 am Debt in defaultHi, you can either undergo a debt reduction program (Debt Management Plan) or a debt elimination program (debt settlement) - depending on your debt amount and account status.These are not run by the government so expect to pay a service fee. If you owe less than $10,000 and are current in your payments - you can contact a credit counseling agency and ask for their (DMP) - expect to pay $25/mo. for 3-5 years. If your debt is $10,000 or more and is severely past due (non-payment of 3 months or more) you can try calling the debt settlement companies - and expect to pay a fee of 15% of your total debt amount for 12-36 months.

Posted on January 22, 2010 at 4:32 am Thank you... one more question, my being in debt and in default for more than a year ... would it cause me to be sued? I recall an old debt but I've moved states - so now I don't know..

Posted on January 22, 2010 at 4:35 am You can check the statute of limitations (SoL) on debt collection on the state that you owe that debt to, here:http://www.fair-debt-collection.com/SOL-by-State.htmlIf it has passed, you can't be sued for it, but you still owe it - so might as well take care of the debt. Remember though that the older the debt, the less it's supposed to cost, and if a collection agency contacts you about it, make sure to have that debt validated before you admit to it or promise to pay for it.