By STEVE BUCCI, bankrate.com

Dear Debt Adviser,I love your column and have learned a great deal from you. I'm a 53-year-old divorced woman, own my home (I recently refinanced for 15 years at 5.375 percent) and have virtually no other debt. My credit rating is in the 775 FICO range.

Dear Debt Adviser,I have a credit-card company wanting to take me to court for a debt that is not mine. I have disputed these charges for almost two years now.

Dear Debt Adviser,I enrolled in a debt-management plan in August 2003 and have finally finished paying off all my credit cards. I would like to find out if having used the agency will hurt my credit score.

Dear Debt Adviser, I just got a mailed notice that if I "default" on my credit card, the lender will raise the "default APR" to 33.49 percent and will apply it to my $660 credit account. I am not in default, nor do I foresee this occurring, but this rate is so high that I want to close that account so that I never have to pay it.

Dear Debt Adviser, How can I avoid going to court regarding unpaid credit card bills? -- Cagney Dear Cagney,Before getting to your question, let me offer some perspective on the collection process. After incurring a debt, you generally receive a statement to pay.

Dear Debt Adviser,I had a very tough situation in the past three years that put me in too much credit-card debt. Eventually, all my debts ended up in collections.

Dear Debt Adviser,Several years ago, I used unsecured private loans to finance my education. I currently hold six different loans (one of which is actually a federal loan) with two different lenders. The total amount of debt that I have is roughly $56,000, and all the loans (with the exception of the federal) have outrageously high interest rates.

Dear Debt Adviser, What is worse -- having your home go into foreclosure or allowing your credit cards to default? -- Sylvia Dear Sylvia,This used to be an easy question to answer. "Pay your mortgage first" was always the mantra of financial advisers. And it's still true -- if you can afford your home.

Dear Debt Adviser, A collection agency is asking me to pay a debt. I asked them for a payment plan but the agency wants the full amount of the debt. I tried to get a loan to pay them off but was denied. I have decided to give up my car so I will have that extra money to pay on the debt. I informed the collector of this but the agency wants all the money.

Dear Debt Adviser,I have two questions, both with regard to credit scores. First, I'm 72 and retired. My wife is a few years younger. We just paid off our mortgage, pay our credit cards in full monthly and have no car debt. Our income is fine.