Do I have any rights against creditors?

You have rights that should protect you from illegal collection practices, but nothing that forces a creditor to accept a settlement. If you stop making payments, a creditor may eventually sue. They could get a judgment which could lead to a garnishment or other collection efforts.

The Fair Debt Collection Practices Act (15 USC 1692, et seq.) prohibits certain abusive practices by debt collection agencies against consumer debtors. You can request IN WRITING that the collection agency cease to make any further communication with you. Additional information on this statute can be obtained through the Internet.

The creditors have the right to continue to call you and can sue you for lack of payment. A good resource for consumers dealing with collections is: http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre18.shtm

If you are obligated on the debts and you quit paying, your creditors may file suit and get a judgment against you. In California judgments accrue interest at 10 percent per annum, and may be enforced by the judgment creditor using various statutory collection methods, including wage garnishment and bank levies. If you feel you will be able to begin making payments in the near future, communicate this to your creditors. Doing so may keep them from taking legal action against you. If you are considering filing bankruptcy, contact an attorney like me to discuss your situation.

They will probably file a law suit against you for the debt you owe to them.

If you cannot pay your debts then the creditors (or at least some of them) will (sooner or later) sue you for the money plus interest and attorneys' fees in the Superior Court of the county where you live. They will obtain judgments sooner or later and enforce those judgments by garnishing your wages, levying your bank account, filing an "abstract of judgment" with the County Recorder's Office (which will become a lien on any real estate you might own now or buy in the future) and force you to go to court to answer questions under oath about your income, bank accounts, property, etc. (and if you don't go then you can be arrested for violating the court order to appear for an examination of debtor under oath). Once there are judgments against you then you will have to hide your property and income from creditors for many years. When you least expect it you can have money taken from your bank account or paycheck. You cannot ever repair your credit history with all the outstanding debt and judgments listed in your credit report. You can defend yourself in the Superior Court if you are sued but eventually you will lose each case if in fact you do owe the money for which you are being sued. There is no legal right not to pay what is owed except in a bankruptcy case. You have many rights if you want the creditors not to call you and you can control the times when they can call, where they can call and how often. Send each of them a certified letter telling them not to call you at all and asking that you be contacted only by U.S. Mail. Most will comply with your request but some will ignore the law and continue to harass you. You should discuss your situation with a local bankruptcy attorney to see if that is at least an option you should consider. Bankruptcy may discharge (wipe out) all or most of your debts and you can get a fresh financial start in life. Why live constantly being harassed and in fear of having your property taken if federal bankruptcy law offers the opportunity for a better life and rebuilding your credit history in just a few years!

There are many options that creditors have to pursue against you, but it depends on your asset situation. You should consult an attorney so they can advise you with your specific situation.

If you file a bankruptcy, then all the harassing phone calls will stop immediately. You can get a fresh start debt free.