My question involves collection proceedings in the State of: Virginia
I have been going through a debt settlement company for 9 months. I've paid the monthly fee and in turn they were supposed to work with my creditors to either arrange payment plans or settle with lowered interest rates. They have yet to contact any of my creditors unless I showed court papers.
I recently received a summons for Capital One. The debt settlement company says I'll have to go to court and explain why I wasn't able to pay (they told me not to pay because of their program - before that I had been paying the monthly but was over the limit due to fees) and the court could possibly garnish wages or put a freeze on my bank account until the debt is paid.
Feeling left out to dry, I called Capital One and they offered to either accept payments of $600 a month or the full balance minus interest (5100$) in two days or I'd have to go to court and they'd request judgement.
My question is this - do I stand a chance going to court in getting the courts to allow a reasonable payment plan, or should I look forward to being even more financially screwed and not being able to pay my other bills (rent, car, etc) with a frozen bank account if I show the contract that shows I've been trying to do something to work on this for the past 9 months?

