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Consequences... (by KC):

jessicaw279 wrote:

I stopped making payments 3 months ago. I get a ton of calls. I received a letter today from a collection agency,m called International Collection Agency LLC, or ICA. Has anyone else received letters from them? Any hit to credit yet? Please keep up updated! I appreciate it! Thanks

Defaulting on any loan taken out in the U.S. will almost certainly result in a negative credit report at some point in time and that negative credit report information will then remain a matter of record for 7 years.

If only not paying maintenance fees, foreclosure will occur at some point (likely within 3 years) but a negative credit report is unlikely as long as you are not also defaulting on a loan.

Collection agencies get a percentage of whatever they can harangue someone into paying. They actually have no legal authority whatsoever, so just ignore them (unless you intend to pay off the debt involved).

It is not clear from your post whether you are defaulting on a U.S. initiated loan or just stopping paying maintenance fees (with no unpaid loan balance). The distinction between those two very different situations is important and will determine whether or not you see negative credit report consequences in the future. If you default on a loan, you should definitely expect to see negative credit report consequences at some point. If there is no unpaid loan balance and you just stop paying maintenance fees, there will of course ultimately be a foreclosure, but likely no negative credit report.