I have a considerable amount of credit card debt. Is filing bankruptcy the answer?
I have a lot of debt, and I want out! It accumulated over the periods when I was out of work. Now that I am working all of my money is only going toward paying the minimums! I can’t seem to get ahead. Luckily, my debt is all unsecured. So, I figure that if I don’t pay my bills, they can’t take anything from me. Should I stop paying my bills?
consolidate under the lowest rate/transfer fee/finance fee you can find. Then Pay more than the minimum, Be happy with what you have and don’t buy or spend on things that will put you further in debt. Credit card companies rip people off with really high rates on those that don’t look and obtain lower rates from competitors. Sometimes just calling them and telling them you’ve found a better rate at ____ will make them offer you a better rate.
July 28th, 2010 at 7:01 pmwow
You may be screwed
Stop spending on ridiculous things tighten your budget and start paying more than the minimum
July 28th, 2010 at 7:01 pmmost of the credit card debt would still have to be paid back – chapter 13 bankruptcy – you wouldn’t be allowed to file a chapter 7 – maybe they can’t attach anything specific, but you could get your wages garnished – get a second job
July 28th, 2010 at 7:01 pmFirst it depends on how large your credit debt is. Try to get a card that has no interest. Put the entire amont on that one card and send large payments to that one card. Cancel all the other cards. Don’t just cut them up. Call the company and cancel the account.
Do not buy anything unless you can pay cash. Do not charge anything. Do not buy anything you don’t need. Don’t go out with the buddy’s on the weekend and spend $100 on drinks. You really have to want to end this debt. If you don’t then my answer won’t help you.
July 28th, 2010 at 7:01 pmWork with the lender.
Get a budget.
Get a second job.
July 28th, 2010 at 7:01 pmIf you are continuing to pay the minimums and can’t pay more you are never going to pay it off (if they are high interest) If you can’t get a low/no interest card and transfer it over, then I think you should file bankruptcy. Someone else said you wouldn’t be able to file Chapter 7 and I’m not sure why, but ideally that’s what you’d want to do.
If you do a Chapter 13 you still have to pay it and you’ve totally messed up your credit.
If you aren’t planning to buy a house for at least two years, bankruptcy would be an option to consider. (after two years your bankruptcy is considered "seasoned" and you will have time to establish some new credit and a good payment history that may actually help you).
Good luck!
July 28th, 2010 at 7:01 pmlacalaw2,
Bankruptcy is a pretty drastic option, and you should consider other ways of dealing with your situation.
There’s a good article at eHow on steps to take to begin tackling your debt. Take a look at it:
http://www.ehow.com/how_2326032_avoid-escalating-debt.html
How to Stop Escalating Debt
You can also look here for tips on earning some extra cash online:
http://www.ehow.com/how_2254361_money-internet.html
How to make money on the internet, scam-free
Lastly, here’s an interesting alternative to conventional lending…getting a "social networking" loan from Virgin Money (from the same folks who run Virgin Airlines):
http://www.ehow.com/how_2310995_student-loan-through-virgin-money.html
Social Loans from Virgin Money
Hope these help.
July 28th, 2010 at 7:01 pmLet me help you with the process http://www.usadocumentspecialists.com
July 28th, 2010 at 7:01 pmFirst of all, be really careful for what you do at this point. Do your due diligence and you can come out of this debt aswell have a good credit standing. Go to yahoo search and look up debt consolidation there are some great options. Contact 5 or 6 different solutions see which one fits you best. Also, ask for references of ohters they’ve helped. Good Luck!
July 28th, 2010 at 7:01 pm