[flabro]

I have an American Express Business Management Account in Florida that they closed a couple years ago because of late payments with my personal American Express card. The personal account charges were settled through a 3 party collection agency years ago. American Express maintained the business account, but closed it. I have been making monthly payments ever since. The purchase amount due has gone from $25,000 to the current $6,000. My monthly payments all go to reducing the purchase amount. The interest goes to Cash Advance. The Cash Advance amount due is now $11,500.

I was a day late for a payment in November and they bumped the interst up to 30.24%. They refuse to lower the interest rate over the next 12 months. That it going to amount to over $5,000 in interest for the year!

I tried to get the account into a debt consolidation program with Consolidated Credit, but American Express will not agree to this. It seems as though they want me to give up and default.

My thoughts are to pay off the outstanding purchase amount and then let it go to 3rd party collections or a court.

I am frustrated with American Express .

Any advice?

[Mr. Knowitall]

If you're going to default and get sued, why pay anything? If you're already in credit counseling and things are still this out of control, it sounds like you should consult a bankruptcy lawyer.