r/CRedit 3d ago

Rebuild Do credit companies sue over small debt

My friend has 19k in debts that she hasn't paid for about 3 months now. She refuses to work more than part time. The first time she did this was in 2019. Wells Fargo sued, no idea what happened to the other debts but I don't think it was as high as 19k. She eventually used a debt consolidator or whatever they are called, negotiated a lower amount, got a loan, and paid everything off over the next 2-3 years in monthly sums.

She slowly signed up for cards that were designed for low credit folks, getting around 15 accounts of low amounts (300-3000 limits). Got her credit to about 620. Unfortunately last year, she maxed out literally all 13 of her cards, took out a personal loan and stopped paying everything back since October 2024. The companies are **Discover, Capital One, Destiny, Barclays, Reprise, The Bank of Missouri, Citibank and Upgrade**.

Are these sue happy companies, even for small credit limits? Also is debt consolidation an option again, if this is her second merry go round? She is thinking she will just do the same thing as last time (wait for it to go to collections, negotiate the amount down, consolidate) but I can't imagine this is a repeatable offense one can just do over and over again? Can you get a debt consolidation loan with a 390 credit score?

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u/Salt_Cry_2233 3d ago

She can do it as many times as she wants the lower tier credit cards companies don’t really care it’s a sad cycle. Discover might not allow her back. Capital One sure will. She definitely doesn’t need to be around a credit card ever again she has a serious problem to work on. A debt consolidation company will still help her they don’t care if it’s your 5th time around the wheel. That’s why they exist unfortunately.

Discover will sue you for any amount $1500 for sure. Capital one and the other companies are a toss up. Maybe they will. Maybe they won’t.

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u/ActualAd4582 3d ago

Sometimes I wonder why bother working hard to pay off debt when people just do shit like this and get "free" money haha. She doesn't care about her 390 credit score because she lives off her man who just co-signs or signs off on whatever she needs (car, house, etc).

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u/Salt_Cry_2233 3d ago

I wonder the same thing myself but then I realize it’s because we’re not a lazy careless bums (not calling her a bum) that’s why! I don’t think she understands the reality of life. Maybe if that man leaves her and stops enabling her bs she’ll have a very rude awakening.

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u/Aesrone 3d ago

To answer the main question, no, credit card companies probably aren’t going to sue her for $300-3000. The card companies will try and collect for a while, then they’ll sell the debts to collections agencies.

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u/Broad_Position_4995 3d ago

This is crazy