HS Financial Group, LLC sent a letter in mail please help!!
This situation has caused me a great deal of anxiety over the last week or so. I have been trying to figure out how to address this debt, but due to everything that happened during COVID, our family faced significant hardships and health issues. To keep our business afloat, support our family, and cover mounting hospital expenses, we ended up taking out nearly $250,000 in loans.
At the time, these loans helped us immensely and allowed us to survive an incredibly difficult period. However, we did not fully appreciate the long-term impact of the interest and the sheer magnitude of the debt. Now, five years later, the debt has been sent to collections.( I was making payments but that was barely scraping the interest. 750 dollars sometimes 1-2k a month depending on business we had that month)
I have several questions and would greatly appreciate any guidance. Some of these may sound basic, but please bear with me I am trying to understand every detail of this situation.
1. Will this affect my credit score?
2. Will this impact my mortgage, home, or vehicle?
3. Given my declining health, is there any possibility that this could be considered when negotiating or reducing the debt?
4. What happens if I never respond to this company, and how can I determine whether they are legitimate?
5. Is there any possibility of legal action against the SBA for not adequately considering the level of desperation many individuals faced while simply trying to survive during the pandemic?
For some context, I am 28 years old with four children, two of whom are in elementary school. I own a small business, and my husband is my business partner. He has been taking on side jobs whenever possible to help us make ends meet. In addition to this debt, we are also carrying approximately $15,000 in credit card debt while paying our mortgage and supporting our family vehicle expenses.
Any advice or insight would be greatly appreciated. Thank you.