The Next Phase of Occupy Wall Street

[Hanks]

There’s a crude saying most of us are familiar with – money talks and bullshit walks. This statement couldn’t be any more relevant for us today than ever before in light of the horrific economic situation most of us find ourselves in. The elite has foisted this economic fiasco on us in order to keep us in financial bondage. I recently read an article which said that the top 1 percent of our citizens only owe about 5 percent of the debt whereas the bottom 70-80 percent of us owe the rest.

Is this some kind of accident? I think the answer is obvious. It is a contrived, systematic way to keep the majority of us in bondage for most of our lives. If we’re obsessed about paying bills and simply surviving, we won’t have much time left over to try and make changes to our society by becoming involved in various causes.

Well, I have thought about this for quite a while and have come up with a rather radical solution to get us out of this economic quagmire that has been artificially created by the super elite in order to keep the rest of us in line. What would happen if millions of us simply decided to stop paying our credit card bills? Statistics show that there are at least 50 million of us who owe various amounts of money on credit cards. Anywhere between 10 and 20 million of us owe at least 15-20 thousand on these cards.

What if, instead of paying the credit cards with their outrageous interest rates, we decided to put the money to other more useful uses? We could use the money to buy the essentials we need in order to survive - things such as food, clothing, and utilities. We could even give some of the money to people who are going hungry, without shelter, living in total desperation.

In case you didn’t know it, most credit card debt is considered ‘unsecured’ debt which means the credit card companies have very limited power in means to extract past due monies from you. They can’t seize any assets since the money is unsecured compared to secured debt such as home mortgages or cars you have financed.

Yes, the credit card companies can try to come after you but it takes a very long time before the legal process kicks in. What they do is eventually turn the delinquent account over to a collection agency, which then begins what I call the harassment process. Eventually, if the amount owed warrants it, they can try to take you to court to get the past due amount.

But let’s say that 10 or even 20 million of us decide to stop paying this debt. Are they going to take all of us to court? Can they afford the legal processes to do this? The answer should be obvious. And as a further defense for us, what if most of us filed for bankruptcy under Chapter 7 or 13? What happens? We’re legally protected from these financial vampires.

If millions of us decided to fight back by doing this, we would create our own financial stimulus valued over one trillion dollars by conservative estimates. We could take control of our own lives while inflicting a financial toll on the bloodsuckers who have charged outrageous rates to keep us mired in debt.
I believe this action could be called the next phase of the Occupy Wall Street movement but this phase would have some real meat and potatoes to do because we’d be hitting them right where they live and breath – in the financial realm. The only thing they really care about is money so if we take action regarding monetary payments, it would affect them more than anything else we could ever do.

I’ve already begun my own action regarding this. I’ve spent almost 20 years of trying to pay down debt, making vain attempts to get credit card companies to lower my interest rates, taking out home equity loans to pay down the debt, and other futile actions resulting in absolutely no cooperation from the credit card agencies. I’ve lost count of the sleepless nights I’ve had worrying about making monthly payments to credit cards. I’ve even drained most of my retirement account in order to keep my credit rating in excellent condition (rating was 792 at one point). And no, for any nay sayers, the majority of my debt was not due to frivolous purchases. Like so many other Americans I have had to rely more and more on credit to pay for essentials such as insurance premiums and home taxes since my take home pay has been drastically cut through the past decade or more.

Well, almost 2 months ago I decided to take the radical move. I filed Chapter 7 bankruptcy after consulting with my family and an attorney who specializes in this kind of case. After 2 consultations by phone with the lawyer I found out things I never knew before regarding this kind of filing. Without belaboring the point all I will say is that for the past 2 months I have slept like a baby and have already begun seeing the positive results from taking this action – a healthier checking account, more secure financial planning going forward, and other things that have normalize my economic situation.

I’ve taken the plunge and began my own legal actions to fight back. After all, if it was good enough for Donald Trump (filed bankruptcy more than once), I think it’s good enough for the rest of us, right?

[glowing]

1. I would say that due to economic situations, 10 to 20 million

are already, by no other choice, are not paying their credit card bills. We need a significant portion of the population to actually stop paying on their credit cards. Over 50% of all credit card users would have to stop paying their debts owed to these companies. The first couple of months of not paying the bill, you would only see the cc companies add late fees, increase the interest rate, and possibly cut off the credit card account. A letter should be sent back each month with the statement that says: I am no longer paying you for this account. I will not pay you for this account. I will bankrupt myself if I have to clear this debt. You will no longer see one little penny from me.

At some point the credit card companies are going to begin lobbying congress to change unsecured debt rules; especially regarding bankruptcy laws. Along with their lobbying efforts, they will have a mass media onslaught of propaganda and tell people how bad they are to not pay their bills, that neighbors will be on the hook for paying these credit card companies in a bail out, and that debt is important; debt is the only way to start a business, buy a car, buy a home, and pay for education. Plus all the wonderful benefits of using a credit card for holiday shopping (retail and consumer spending which our economy is 70% of these days), travel, business and the accounting ease. There will be an all out media blitz, along with commercials that will be literally peppered with propaganda. They will also make things really nice for customers who are paying on time and playing by the "debt rules". Those still paying will benefit from a reduction on the interest, debt forgiveness on the amount, a 0% on grocery shopping. And then they will beg for people to come back to them, after the propaganda and the lectures, and the legislation attempts don't work, they will be on their hand and knees. They will tell you they will take off all the late fees, reduce the interest rate, forgive some of the debts, and dangle 0% interest incentives for you to come back to them and pay a monthly fee. At some point, the number of people defaulting will harm the banks that issue the credit cards in the first place. They will effect the shopping stores that issue store brand credit. Place like Gap and Target and maybe even Walmart could be wiped off the map. This would take time to see a significant change in how debt is issued, what debts should be, why debt is being placed on things like groceries and gas and medical needs because one has no job, reduced incomes, or no raise for the cost of living increases.

People will be scared to NOT have a credit card. They will be scared of what happens if I have a problem? They will be scared as to what a poor credit rating score will do to the cost of their car/ homeowner insurance, job hiring placement, or ability to buy a car or a home. This country is not a place in time at this moment where #1 people aware enough of what is going on and that it is a massive protest of debt and why we are all n debt and how it should NOT be ok to have to use credit cards to supplement a pay raise one should have gotten with the rising cost of living ... I call credit cards the middle class welfare system with interest; 2 people are brave enough to buck the system and will participate together in protesting, #3 that we have the politicians who will NOT screw us over for favor of the credit card companies and banks who issue credit through them (currently we do not have the proper political persons in congress, senate, or justice system that this will work--2012 elections is the best hope we have for obtaining competent enough legislation branches that will support The People over the banks).

I would say, for now, we are better off actually participating in national strikes, leading up to a global strike. By not working or buying or traveling, we cause the entire system much more panic than we would on one specific sector of the problem. I stopped paying mine. One company came after me early on and I have part of my pay taken from my check to pay a company. Another company has just decided to sue. We were negotiating our mortgage, so I had to wait to file for bankruptcy (otherwise their would be not modification possible). This has finally finished, so I am filing for bankruptcy now. What we really need is some sort of Jubilee where everyone can have a reset type of button... Where homes are actually modified on the principle of the loan and not just mess around with lowering the interest...

I like that more and more people are finally thinking like this. I like that more and more people are becoming aware and are rejecting the notion that unemployed and underemployed people are just lazy and can't pull up their own bootstraps. I like that more and more people are recognizing the importance of being connected to one another and want an invested community that is healthy and productive. I like that people are questioning why we have to work so much, have less time for ourselves and families, and continue to sink faster and faster into economic despair just trying to pay for the basics in life or having to choose between health, children, education, medicines, food, energy, and shelter in order to survive. I love that so many have lost out on "playing by the rules", that they are ready to change the system that many of us have seen as unsustainable and horribly draining on humanity within our human species. I love that the Tea Baggers had about 2 years before everyone is more wise to their true nature. It is one of the fastest switches in political thinking I've ever seen. They were mad. People were mad. People listened to the madness, and have been maddened even more by the fools that they have been made of for thinning these idiots would create jobs, jobs, jobs. I love that everyone is willing to bring up new ideas and think outside the box for the 99% to become a whole 100% where the world works for us all.

I love the idea of getting debt off of our necks. A few years back, certain stores got rid of the layaway system, in favor of store credit cards that would earn them free money on the interest from items that used to be just the cost if one paid a bit at a time for the items they need. I see now that some stores are reversing these policies and utilizing lay away plans again....even Sear's had a program where you could buy a costly appliance (like washer or dryer), allowing customer to bring it home and pay a monthly rate as a lay away with no interest, on no credit card. the economy is an issue for the big wigs too.

Great Op.

[Hanks]

2. Thank you so much

for adding your insightful comments. You are RIGHT on the mark with everything you noted especially the predictions regarding what would happen if we banded together regarding this.

I think I may have done this at the perfect time. I'd thought about it for years but always hesitated because of the peer pressure you cited regarding being a 'bad' person for doing such a thing. But now, as you noted, there are probably millions doing this very thing so the credit card companies are inundated with non compliance. I stopped paying the cards, on my lawyer's advice, almost 2 months ago and so far everything has been very timid on the cc card end. The actual chapter 7 papers will be filed some time this week but the companies have only contacted me via email with allegedly 'friendly' reminders about my bills being over due.

There were a couple of things that set me off in the end:

1. As you probably know, the corporations are hoarding trillions of dollars by not hiring people. They've literally declared war on
the rest of us. I remember reading a story about a business CEO who bragged about being able to get a billion dollar loan for a mere 1.5% interest. He continued by saying "but why would I borrow the money? What would I do with it? I'm not going to hire anyone,
so why take the money?" I asked myself "when was the last time any of us common folk were able to get a sum of money for 1/5% interest? I tried negotiating to have my interest cut but to no avail. One company, Citibank, actually had the gall to tell me that the 18.99% interest rate I was paying was a very 'fair' rate. Yeah, right! They get the money from bailouts/tarp with NO interest, turn around and charge me 18.99% but I should be grateful.

2. Amex was another one who began turning the screws on me by lowering my credit line for now apparent reason - I was never late on any CC payment my entire life and always paid more than the minimum monthly requirement. I let my son use my card (he has the same
name as me) to make a modest purchase which he paid off when the bill came in. The mistake he'd made was that he wrote them a check
out of his account rather than give me the money and let me write a check out of mine. Then, months later, after Amex instituted a
new computer system for bill payments, they tried to go into his acct. to get a payment I'd authorized out of MY acct. He had no
money in his acct. (unemployed for over 2 years), and his bank began charging him overdraft fees! When I found out thep problem, after weeks of investigation, Amex never apologized for their error and casually dismissed my complaint. I guess this was the final
straw for me. I figured if they want to have a war with me personally I will gladly fight them.

As you also noted, we have played by the rules all of our lives only to see the rules bent and obliterated by them. The playing field is NOT even by any stretch of the imagination. And it's time we took back the game.

Thanks again for such an indepth response.

[glowing]

3. I'm glad it ended up being somewhat sane.. I had a double over

night and was up eating breakfast/ dinner and reading DU when I went on a long winded thought. LOL.

I agree. I played by all these crazy rules. The rules are shit. They don't make for a better world. So, we need to make them work for people.

[Hanks]

5. The rules

are ....

Exactly right and you wanna know why? Because 'they' make the rules, not us.

[TexasTowelie]

4. I gave up on the credit card battle in 2006.

I played the game during the 1990's and went into a private credit counseling agency in 2000. I walked the line and continued playing the game another five years then I was hit with medical expenses and other bills. The situation got to the point of whether I should pay my credit cards or do I allow myself enough money to keep a roof over my head and food to eat so I defaulted on all of my credit cards. I thought about a formal bankruptcy in 2008, but I couldn't afford either the time or money for attorney fees or mandatory credit counseling classes, so I went the informal involuntary bankruptcy route.

My credit rating is ruined, but at least I can eat and pay for necessities and medical care. I saved about $30,000 over five years by exiting the game. Most likely, I would still be paying on those credit cards if I kept on with the farce.

In Texas, the statute of limitations for unsecured debt is four years. I had a collection agency call yesterday about setting up payments so I asked for their address to send a payment (by making a payment the statute of limitations is reactivated). After I got the information I told the CSR that collection efforts were futile because the statute of limitations expired. The bill collector tried to psycho-analyze me over the telephone and I told her to go to hell. I mailed a cease & desist letter to the collection agency last night. The amount they are trying to collect is 40% more than the credit limit of the card and about 90% more than the actual purchases that I made on the credit card, so I don't feel bad about leaving them dry on the fake money tied to interest payments and late/non-payment fees. The bank already wrote-off the debt and gets various other tax advantages, so they get no sympathy from me. The collection agency gets nothing either since they were stupid enough to purchase unsecured debt from a credit card company.

I admit that I'm responsible for the debt and feel a small amount of guilt--if I ever win the lottery then I'll repay those debts. However, when I think about all the payments that I made for various fees I'm reasonably satisfied that the company broke even with me.

I'm not advocating this as the solution for everyone, but I'm essentially judgment proof and live in a state that is friendly to debtors who walk away from their debts. And I'll repeat again--I only feel a small amount of guilt that diminishes each day as I watch the OWS protesters. Desparate people do desperate things.

As a quirky aside, I also received a series of three checks due to a class action lawsuit against the credit collection agency that I used between 2000 and 2006!

[Hanks]

6. Please don't.

Don't
1. feel guilty about anything and
2. Pay back anything even if you come into a windfall (lottery, etc).


I look at it this way - look at the banks and other big companies who took free money from the government and then hoarded much of it rather than using it the way it was morally supposed to be used.

Besides, remember in my first post where I said by not paying the blood suckers, we could pump at least a trillion or more back into the economy where it would really count. That trillion is NOTHING compared to what the banks and other fat cats really got from bailouts. I believe one number rolling around was about 8 trillion really given to them. And our government even bailed out banks in other countries as well.

Lastly - that 30k figure you mention about creating or saving is another facet of this plan. Once I get through the bankruptcy process I believe I'll be creating a bit of a cushion myself - the first time I could do so in over 20 years. And they don't like that because if millions of us began building this road of financial security then we would need 'them' even less.

As I said - don't feel guilty about anything. They don't so why should you? Those collection agencies would allow you to drain your retirement or other avenues of money in order to grab a quick buck and enable some collector to have a nice bonus (per the books I've been reading about this).