Business debt on the personal credit report?

[Anonymous]

Hi All,

I own CA corp, it's not profitable, all operations are stopped. It still has about $100k of credit debt to WF, for which I'm liable personally.  It's current and not showing on my personal credit report. I'm not able to bay back this debt, since I've sold my house already with losses and was just about able to pay off my personal debts. I don't have any property or cash - nothing, and I currently have no job.

At what point this debt will show up on my personal credit report, and what are the best ways to deal with this situation. 

Thanks,

[Anonymous]

Hi, hominger!

I'm sorry that this has happened.  It is a difficult situation.

This WF debt will most likely show up on your personal reports after it actually goes into default, and remains unpaid for over 30 days past the due date.  

I don't think there are many options for you at this point.  I'd make sure to file a notice of dissolution for the business, if you haven't already done so.  I think I'd also want to contact Wells Fargo and let them know your current situation, impressing upon them that there are no business or personal assets, and that this debt is (and will remain) uncollectable.  With luck, they may decide not to pursue a judgement against you personally.

I'm thinking that having this one derog on your personal credit for this account will be the best you can hope for.   But if necessary to prevent a judgement for this amount hanging over your head as you rebuild from this, filing for personal bankruptcy may be the only alternative.

Please do not take this advice as gospel by any stretch of the imagination.  Contact an attorney before doing anything. 

I hope someone here has better advice for you, and I'm sorry that this is the best I can come up with.  You will get through this, though, one way or the other.  Hang tough, and I wish the best for you.

Please let us know how you make out.