Need Your HELP!!!

[thebig1]

first off, i've been gone for a LONG time and its nice to be back in some capacity. Happy New Year!!!

my problem is, i've fallen on hard times and i'm looking to clear up my debt starting in 08. i have around 18K in credit card debt which i can't keep up with and its pulling me down deeper and deeper.

does anyone know of a good Credit Card Debt Consolidation company?

preferably one thats good and isnt a rip off.

Company Name?

Good or bad?

and any other info that you can tell me about the terms and the way it works would be truly appreciated.

i'm trying to get this taken care of ASAP so of course i'm looking for your help now.

i appreciate your time and hope to recieve lots of information from you.

Chad

[Randy]

Have you called you Credit card companies? Sometimes they will work something out with you to lower you interest and/or payments.

[TreeStandBowHunter]

It takes a real man to admit this especially in public so that shows your determination already so kudos for you.

I really don't have an answer for you but I am sure someone does. My advice, however, is to pay a little bit more on your monthly payments awhile until you figure out what to do next. There are probably several things you could do. You could get a consolidation loan through your bank which would probably be of lower interest and also force you to pay it off within a certain amount of time. But if do that make sure that you stop spending foolishy and leave those credit program (stores, etc) or credit cards alone. Whatever you do don't file for bankruptcy and I am not sure if you could even do that anyway. For now though, pay more on your monthly payments and lower that finance charge. When you just pay the regular payment due, it will take years and years to pay it off. Credit cards are no good dude. I use mine only for times when you HAVE to have one like making reservations, ordering on-line, etc but even then when the statement comes in the mail, I pay it off. Besides my two vehicles I have back in the states, I am virtually debt free. You know why? Because I had good leaders growing up in the Marine Corps who told me the same thing I am telling you;)

The rule of thumb...if you don't have enough cash for it in your bank account, than you can't afford it with the exception of big investments of course like a house or car, etc!!! Good Luck

[wtnhunt]

Dont know your situation, but pretty well agree with what Mike said above. Aside from the large investments all my life, tried my best to charge only what I could afford to pay back when the bills came due. If the money is not there and it is something you can do without, then dont buy it. Without knowing more about your situation, home, mortgage, equity, etc. dont really know what would be your best solution.

With the low rates currently if you have a home and have equity, might be a consideration to take an equity loan to payoff those high interest cards. That would be where I would likely start, and would deal with a local bank if at all possible.

[RangerClay]

My wife has a problem with those cards. She ran up 8K before I knew it. The first step you have to do is cut up every card into tiny pieces. I later gave her one card with a limit on it in case of emergencies. Now do as Mike suggested, pay a little more than your monthly payment and consoladate with a low interest loan. One last thing that "I" would do. You may want to swear off some vice that you have (ie. beer, cigarettes, the boat) or whatever you are buying with all this credit.

[stevebeilgard]

i don't know of any company that specializes in that myself. i have seen them advertised on t.v, which tells me to look elsewhere. try your state offices. they can give you the advice/contacts that you need. a good negotiator can help you out, and tell you how to stay out of trouble.

i've learned that if you must use a credit card (which i do all the time), pay it off each and every month. no exceptions.

[buckee]

A bank consolidation loan is your best bet. Borrow 20k, pay them all off pronto, and get rid of them, and you'll have a $2,000 or there abouts, cushion to get back on your feet.

You'll never pay that off, any other way. The interest will just keep adding to it, and faster than you think., and by the sounds of it, you're not in a good position to lay large amounts down on the cards to slowly catch up.

[nativetexan]

First things first. Has your credit rating suffered because of this debt? If so, making on time payments (even if it is just minimums) for a while is the only thing that will repair it. Simply paying everything off is not enough.

1. Contact your credit card companies and ask for a reduced "hardship" interest rate. Each company will have different rules on this.

2. Set up all of your payments on automatic debit straight from your bank account. This will show on time payment history and raise your credit score. Paying off debt with a higher credit score is better than paying it off with a low one.

3. As mentioned before, give up all the niceties that you can. You would be surprised how much even a couple of soda's and candy bars a day can add up. 3 cokes at .55 per day, each day for one year is $803 bucks per year. Amazing huh? Now think about that for a $1.25 coke out of a coke machine. Just examples.

4. Reduce your standard of living for a while. Do as many free things as you can for entertainment. Be resourceful.

5. Getting a part time job should only be an extreme, and it should pay well. If you have a family, it will suffer for a only a few bucks extra a month. Odd jobs may be better.

6. Consumer Credit Counseling services will charge a fee for something you can (by law) do on your own. This isn't getting you anywhere. All creditors are bound by the Consumer Credit Protection Act. Learn it, know your rights, exercise them. For free.

http://www.federalreserve.gov/pubs/consumerhdbk/

7. Consolidation loans may be a good way to go. Stick with reputable institutions and watch your interest rate.

8. Be patient and disciplined. Clip coupons, services you use and pay for learn to do them yourself, live on the cheap period. In time, you will start to see that debt disappear. Do not acquire new debt unless it is for an item such as a car or home. Live on a cash basis. Don't buy things right now that are "cool" or "neat." Buy things because you need (not want) them and use them regularly.

9. KEEP AN EYE ON YOUR CREDIT REPORT!

Biggest thing is just to be disciplined and be comfortable with the fact that your level of living may need to be lowered. You would be surprised at how much money we all waste each day on junk. Before you buy a bag of chips at a gas station, look at that change in your hand and multiply it by 1 year. Same goes for a cup of coffee, or soda, or candy bar, gas, utilities, smokes, beer, McDonalds, etc.

I agree with Treestandbowhunter that admitting it and asking for help is being a man. I have seen so many young kids and grown men alike in the military who would rather let their families suffer than ask for help because of foolish pride. I have known 2 personally that committed suicide over financial problems that transferred to military problems. That my friend, is b.s. But on the other hand, I have seen just as many succeed and live on with happy and comfortable lives because they did ask for help. I am living proof.

You have more money than you think you do...trust me. Be patient! Call your creditors and see what you can work out. Don't sound desperate, sound smart. Desperation leads to desperate measures and desperate offerings, and desperate measures do not work in the financial community. Lay it all out on the table and organize it and get a plan together. If you need help or advice, ask away. If I don't know the answer, i'll find it for you, or someone here will.

Yell at significant others/friends if they leave lights on in your home. Don't borrow from Peter to pay Paul.

[thebig1]

thanks guys for all your replies. i'm hoping that more people will reply with my information.

[hogwild63]

I am using Trinity Credit Counseling, www.trinitycredit.org

This site will tell you the difference between debt consolidation loan and debt menegement program. I have about $30k in credit card debt from a previous failed business (plus other issues I won't go into). It is very tough but worth it as they will handle the communication with the credit card companies and make the proposals as well. All of my cards are below 10% interest. You will make one monthly payment to them. They have stuck by me when things are tough (like this month and last summer ). PLEASE read the information on debt consolidation before you do anything. This comoany is not a rip off.

[MUDRUNNER]

I feel your pain brother.The wife and I were in a similiar situation a few years back.She was out of work for a while,and between Christmas and having a kid we racked quite a bit of debt over about a year and a half.Probably around 17 grand.We started by paying all the cards with the least amount off and destroying them.We took that amount and applied it to the other cards and just started chipping away.We sold our house last spring and used the equity to put down to build a new house,and we had about 8 grand left that we used to pay all the cards off except for two.We still owe about 7 grand,but when my truck is payed off next year were going to take that money and add it to the card payment and hopefully within the next 2 or 3 years we'll be free of credit card debt.