Archive for July, 2009
I’m Up to My Ears in Debt. – Nathan
Nathan wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, I am up to my ears in CC debt. I thought about going through companies like care one, etc. I have two cards with capital one, one with wachovia, one with chase. what do i do. this is on top of student loans and i am spreadin very very thin on money. i tried to reason with the companies and working out a plan and they dont want to. they referred me to national credit consuling. why wont they work with me personally if im wanting to come up with a plan that i can afford? What do i do? how can i get out of this debt totally $7,800 i dont have a whole lot of money each month. i just get by, student loans are killling me. luckily i am eating. i am trying and trying to find PT job on top of my FT job to make ends meat. no such luck yet Nathan” Dear Nathan, CareOne is a credit counseling group. With any credit counseling or debt management company the monthly payment isn’t a whole lot less than the minimum payment you are paying right now. However, the interest rate can be lower. But if you can’t make the minimum payment, big deal. My concern is that with you living so close to the financial edge each month, I have a hard time envisioning that to be safe for you. Your priority to repay your debt should be student loans, some money in a savings account each month, and then credit card payments. If you have not looked into lowering your student loan payment, you should. Check out the IBR , Income Based Repayment program and see if you can lower your student loan payment. If you can, then consider a debt management program . If you can’t get lower your student loan payment and you can’t save and make your credit card payments each month then I think you should consult with a bankruptcy attorney and talk about what bankruptcy would mean for you. Bankruptcy would not get rid of the student loan debt but it would get rid of the credit card debt and that might give you the breathing room you need each month to get by, save, and oh yes, eat. Big hug. Steve @GetOutOfDebtGuy Source: I’m Up to My Ears in Debt. – Nathan Other Related Articles to Read The Truth About The Failure Rates and Completion Rates of Credit Counseling, Debt Settlement, and Bankruptcy. Disturbing and Potentially Deceptive Move by Credit Card Industry. HelpWithMyCredit.org Most Debt Advice Suggested is Snake Oil or the Wrong Solution For People In Trouble. Here’s Why. Quickies – CCCS Consumer Review, Autos, Cards, Balances, and Debt Debt Relief Orders Let Consumers Go Bankrupt Through Credit Counselors
Fitch Affirms AMR and American Airlines at 'CCC' – Stockhouse
Fitch Affirms AMR and American Airlines at 'CCC' Stockhouse In addition, AMR has received covenant relief from its major credit card processor to cap credit card cash hold-backs tied to financial covenants in the … and more »
Can I Get a MasterCard After Bankruptcy? – Cassandra
Cassandra wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, My debt was discharged is 2003. Recently I have had 6 negative accounts and 1 negative public record (Child support) deleted from all three credit reporting agencies. I do have four installment loans (federal, private school loans) and one fashion store card both being paid on time and in good standing. My credit score is 660 and they are still reporting the bankruptcy (10 yrs = 2013) and two negative accounts. They are also reporting closed accounts/loans that were paid in full. We need to move due to the house making a sick and our income is fixed and limited. What are my chances for getting a major Mastercard to use for a moving truck/ professional movers? In two years time? Cassandra” Dear Cassandra, If these are items on your credit report that are still showing open but they were included in your bankruptcy , that can be ended right now. Just get a copy of your consolidated credit report that has all three credit bureaus on it. Look at each credit report and notify the credit bureau reporting that specific items were included in your bankruptcy and are closed. That should bring your credit score up. Also, the biggest mistake people make after bankruptcy is not getting back into the credit game. If you don’t have some new good credit reported then your credit report goes from bad to bankruptcy to nothing. How can your score increase if you don’t have new stuff reported? The way you do this is by applying for a secured card . You can do that right now. With a secured card you put down a deposit equal to your credit line. The creditor will hold your money in an interest bearing savings account . Make sure the secured card company is reporting to all three credit bureaus. The secured card will be a Visa or MasterCard. Let me cut you off at the pass If your argument is going to be that you want an unsecured card to put down as a deposit. If that’s the case then you can’t afford to have and pay an unsecured credit card. Remember, a credit card is a safe way to make consumer financial transactions but it is a horrible way to borrow money. If you want to borrow, see LendingClub.com instead. Big hug. Steve @GetOutOfDebtGuy Source: Can I Get a MasterCard After Bankruptcy? – Cassandra Other Related Articles to Read Bankruptcy Filers Can Easily Get Better Credit Scores Quickly John McCain Has Bad Credit Card Rates
Big spenders tend to marry big savers – Canada.com
Big spenders tend to marry big savers Canada.com … that the extent to which people said they found a pain of paying strongly predicted their savings and credit card debt , but were unrelated to income. …
I Paid Off an Old Debt and My Credit Score Went Down. – Michelle
Michelle wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, To pay or Not to pay…. that is the question. Have a old debt (over 2 years old) I have been told not to pay it because if I do it will make a negative mark on my credit. I know this is true because I paid off something else which was in collection, it now says Paid, but brought my score down by 4 points. 4 points is alot when your score is already low. Now I’m afraid to pay off the other debt because it might lower my score more. On the other hand, I would like to pay it off. What’s the best solution that would INCREASE my credit score or at least not lower it more. Michelle” Dear Michelle, I don’t know who told you that but they are wrong. There are a number of reasons why your score can fluctuate and 4 points is nothing. Each bureau uses their own scoring model, the formulas change and as time passes, and things get weighed differently. Rather than guess why your score is what it is, you need to order a copy of your consolidated credit report with credit score . It will show you what each of the credit bureaus are calculating for your score and tell you what you can specifically do to improve your credit score. When I look at my own credit score they range 17 points between credit report bureaus. And my score changes a bit every month. What I am more worried about is if you have a current good line of credit that is reporting to the credit bureaus. You will be able to confirm this when you get your consolidated 3-1 credit report . If you do not have an active credit card, not store card, that is reporting to the credit bureaus, your score will drift down. You see your credit report has bad credit on it and if it ends on a bad credit note it is like being in school and getting a D on a test. Unless you get better grades after that it will not pull up your overall grade. If you don’t currently have a major credit card I suggest that you consider a secured Visa or MasterCard that will report to the credit bureaus. That will do the trick to start bringing you back up. And the other thing that will help, pay off any open collection accounts. Big hug. Steve @GetOutOfDebtGuy Source: I Paid Off an Old Debt and My Credit Score Went Down. – Michelle Other Related Articles to Read Jennifer Says “We Have Accumulated So Much Debt And Bad Credit. What Do We Do?” My Husband Was in Jail and I Was Left Raising Our Child With a Low Credit Score. – Julie What Should I Do to Get my Credit Score Up From 400? – TLT Bre Wonders Why Her Credit Report Still Shows Negative Items That She Thought Should Have Been Removed By Going Bankrupt Pam Asks “Does a Deferred Student Loan Lower Your Credit Score”
Nobody Will Give Me a Debt Consolidation Loan to Pay Off My Debts. – Scott
Scott wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, I make good income (130,000.00/yr) but have three kids and several credit cards from before my pay went up. we have approx 40,000 in debt and the payment are starting to get more difficult. We are still making all of our payments How can I consulidate all this debt to one payment and pay off quicker? Scott” Dear Scott, If you have a credit score above 640 then you might want to check out LendingClub.com for a debt consolidation loan . This is a peer-to-peer lending network. People all over will pitch in and each fund a small amount of your total loan request, thus spreading the risk over a large group of people. Once the loan is funded then the money will be wired into you bank account for you to pay off your debts. This will give you one monthly loan with a lower payment. I happen to be one of the lenders on LendingClub , who knows, maybe I’ll be part of the group of lenders to get a chance to help you get out of debt. Big hug. Steve @GetOutOfDebtGuy Source: Nobody Will Give Me a Debt Consolidation Loan to Pay Off My Debts. – Scott Other Related Articles to Read Searching For a Debt Consolidation Loan or Credit Card Counseling Service Bad Credit Debt Consolidation – Brutally Honest Advice Free Get Out Of Debt Calculators Online I Need a Debt Consolidation Loan. Can I Get One? – Melissa My Wife and I Are in the Military and Need to Get a Consolidation Loan. – Andy
I Need a Debt Consolidation Loan. Can I Get One? – Melissa
Melissa wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, I have two lines of credit and one credit card and my husband has an ATV loan all totalling approx. $32000.00. The two line APY’s are great but the credit card APY is outragious and the ATV APY could be better. Is there a way that we could consolidate these four debts into one loan with one reasonable monthly payment without any extra fees or charges and without paying a massive monthly payment? Melissa” Dear Melissa, I think your best bet is to investigate LendingClub.com for a loan. LendingClub is a peer-to-peer lending model. When you put your loan request online it will be verified and then presented to people like me that will fund your loan. This process skips having to deal with the banks directly and often allows you to borrow to pay off debt when no bank will lend to you. I recently started lending on LendingClub to test it out. I’ve heard good things from other lenders and a friend of mine just recently placed his loan request on LendingClub for debt consolidation and it was funded within a week. Big hug. Steve @GetOutOfDebtGuy Source: I Need a Debt Consolidation Loan. Can I Get One? – Melissa Other Related Articles to Read I Have Great Credit, Never Missed a Payment, And Want to Get Out of Debt ASAP. – Bonnie I Want to Consolidate My Credit Card Debt at a Good Interest Rate. – Roy My Life is a Financial Lie. People Think I’m Successful But I’m Buried in Debt. – Jamie I Just Finished a Divorce and Want to Dissolve My Debt. – Janet My Wife and I Are in the Military and Need to Get a Consolidation Loan. – Andy
I Have No Money to Deal With My Money Problems. – Debra
Debra wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, My job cut my income by 50 per cent , same hours less pay. NOv 15. 2008. My son had cancer with no ins, I had to pay for test and treatment on credit cards,also for gas.and other very important things. My daughter had to go to drug rehab last year, July 2008. All in all I put $35,000 on credit cards I had good credit score before all of these problems happen. I tried to do a dedt consolidation, my my credit score was 710. I was turned down because of the cut in salary. I see no way out , so I stopped paying the credit card s, I got so sick of worring to keep up . I could NOT. I now can only pay my mortage and I electricity. I get a lot of collection calls, just from credit card companies. it been 130 day since I stopped paying on credit cards. I will never want to buy anything again. I dont care about my credit score anymore. MY question is when will this hell and calls go away? How can I get them to stop calling? NO money for an attorny either? Just NO money. Sincerely, Debra” Dear Debra, While you are spending money caring for everyone else, who cares for you? Sticking your head in the sand and ignoring the credit card companies isn’t doing nothing. It is a decision to ignore the situation and let the credit card companies do whatever they want to you. I need for you to get motivated to take some action to treat your financial cancer and treat it. You need to go bankrupt. At this point bankruptcy will actually increase your credit score and end the collection calls. You can search for a bankruptcy attorney that might be able to provide you with free services but you will still have to pay court filing fees. See the resource directory at the American Bankruptcy Institute . I don’t think it is unreasonable at all to ask your son and daughter to help you pay for your bankruptcy fees. After all, you wouldn’t be in this situation if you hadn’t gone to their rescue in their time of need. Now that you are in trouble, it is time for them to repay the favor. Big hug. Steve @GetOutOfDebtGuy Source: I Have No Money to Deal With My Money Problems. – Debra Other Related Articles to Read Would It Be Better to Go Bankrupt Now Or Plug Along. – Ann My Situation Feels Hopeless. I Feel Sick About it. – Erica Our Monthly Payments Are More Than We Make. – Chelsey I Had a Baby, Lost My Job, and Can’t Pay My Credit Cards. – Amanda 73 Year Old Retired Teaching Assistant Drives Credit Cards up to $18,000. – Camille
James in the UK is Feeling Horrible About His Situation.
James wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, I’m a student going into my second year and have got myself into a lot of debt. I owe £350 to a payday loan company (who are threatening me with bailifs) £244 phone bill (contract monthly £35) £240 for my first months rent on house I have no income whatsoever till I get my student loan in septemeber or october. I have a £1250 overdraft (interest free) which is maxxed out and have nearly maxed out my £500 credit card. I need to get the rent by the 21st of next month otherwise i wont be able to go back to university and will be alot worse of then I am now. What can I do to get myself out of this mess? I feel very suicidal and getting to breaking point. James” Dear James, The answer might be obvious but you can’t see it. James, you can’t afford to go to school. You might just have to drop out and go get a job to repay your debts. Once you get that under control you can go back to school. The stress and pressure is making you desperate and feeling suicidal but if you take action to address the underlying problem, no income, you will begin to feel better quickly. This is the same situation millions of people around the world find themselves in every single year. It is unfortunate, but not insurmountable. Big hug. Steve @GetOutOfDebtGuy Source: James in the UK is Feeling Horrible About His Situation. Other Related Articles to Read I’m $211,000 in Student Loan Debt to Become a Lawyer. I Don’t Want to Be an Attorney Anymore. – Jacob I Had to Flee the UK. Will I Be Arrested For Debts When I Fly Back In? – Ann My IVA Has Failed And I’m At The End of My Rope and Considering Death. – Charlie I Am Completely Broke and Need to Make Money Now. – Jackie My 19 Year Old Daughter Owes $5,000 on a TD Bank Credit Card. Does She Have to Pay?- Marion
I’d Like to Consolidate My Federal Student Loan, Private Student Loan and Credit Card Debt Into One Debt Consolidation Loan. – Jane
Jane wrote to me through the GetOutOfDebt.org site and asked the following question. If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Income from the GetOutOfDebt.org site advertising is used to help alleviate poverty . If you would like to help me to help others, there are easy and free things you can do, click here to learn how you can help . “Dear Steve, My husband & I have been married 6 years and have two children. One of us has been in school the entire time until he graduated a few months ago. He has a well-paying job now and I’m self-employed. We have a decent income for where we live, but now with the school loans needing to be payed back and having a lot of credit card debt to make it through those school years, we’re having a very hard time making all of our payments. We have a federal school loan payment, a private loan payment, and credit card payments. Is there any safe way to combine these payments (federal school loans, private school loans, and credit cards) so we’re not making so many large payments each month? Jane” Dear Jane, Oh would if it could be true. No. On the federal loans, check out the IBR repayment plan. IBR stands for Income Based Repayment and that might give you some room. For the credit card debt you can check out a debt management program . While interest rates may be lowered, your monthly payment will remain the same. For private student loans , yep, you’re screwed on those. Depending on how much you owe, you could always check out something like LendingClub.com and see if a group of small investors would be willing to fund a loan to consolidate your debt. Big hug. Steve @GetOutOfDebtGuy Source: I’d Like to Consolidate My Federal Student Loan, Private Student Loan and Credit Card Debt Into One Debt Consolidation Loan. – Jane Other Related Articles to Read Diana Is Struggling to Make Credit Card Payments And Afraid Bad Credit Debt Consolidation – Brutally Honest Advice Robert Wrote “I Do Not Know Where To Start Other Than I Am in Debt” Teresa Writes In And Asks “What Should I Do Next?” How You Can Get Out of Debt Fast Without Filing Bankruptcy