Credit Card Trouble

I just wanted to put in one more vote for Dave Ramsey. Not only will he help you get out, but help you stay out and build for a great future!! Listen noon-3p.m. on 95.9 FM radio station.

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Carrie is absolutely right. Do NOT go to debt consolidators for the very reasons she mentioned. They had a segment on CNN about this very thing last week. Maybe you can google CNN and see if they have a transcript of her segment. Ditto to the bankruptcy. She (blond, can't remember her name) said that should only be the LAST resort. Not good.

if you have an FHA loan you can do a restructor of your loan to lower your payments on your home you will have to contact a broker who can do these loans the closing cost will added into to your loan and can save you a month or 2 on your current mortgage payment this is NO cash out just lowering your rate and maybe the program. this could help with a little bit of extra money to apply to your card, what ever you do do not do debt consilidated you will end up with more lates on your crecit than its worth... If you want to file BK or thinking of it call an attorney and ask for some advise....

Check out www.daveramsey.com . I have heard him answer many questions similar to your own on his radio program. I believe his website may provide information and suggestions, and also links to trusted counselors and other tools.

we dont have credit cards anymore, we went thru bankruptcy 2-3 yrs ago, it was the best thing for us, we have a fresh start, we dont owe any more,I think were allowed second chances, we only buy what we have money wise at the time so theres no owing any more, I dont know if bankruptcy is your answer, but it was way way over our heads, we dint have money for grocerys and i went to foosd panryies for quite sometime, now i actualy can shop at dominicks and the jewel,

Dave Ramsey is the way to go. My brother in law and his wife lost thier house one year ago, took the financial peace class this past summer and will be totally credit card debt free in about 3 months. They have no vehicle payments, and lived with my inlaws for 6 months, so they had some help. But the class, the books, the audio CD's, everything has been so inspirational to them and they have a monthly budget that they stick to religously. They are now renting a home with the hopes of purchasing it in one year. Dave Ramsay has done wonders for 2 people I never thought could live without credit cards, but they are doing great and definitely headed in the right direction. My brother in law actually is teaching the Financial Peace class at his church now because it inspired him so much! Good luck and cut up those cards.

I am running in to the same kind of trouble so if you get any great advice could you pass it along to me? It just seems like it's never ending! I watch the Suze Orman show alot (she's got some good tips) - like calling your creditors and bargaining with them to reduce your interest rate (which I have not done yet). They would rather give you a reduced rate than to have you not be able to pay anything at all. Also, I think you are supposed to put the most money toward your card with the highest interest rate - and only pay the minimun on the rest until you get that paid down. Then take that payment and it apply it to your next card and so on. I hope you get some other good advice because I know how you feel - and it's not good. Good luck!

Hi L.-Do you have an accountant or I prefer a CPA. they are worth the money and can show you how curb your monthly expenses so that you can reduce your outgoing money. I always remember it is the little purchases that add up to alot and you would be suprised how much fast food, starbucks, 7-11 stops all add up to serious cash. Do you work? I refused to go back to work when i had my children and have worked from home for 8 years and I do direct sales to make extra money. Have you thought about that? There are alot of really great companies out there from purses, to jewelry to nutrition just to name a few.

Yes, there are volunteer counselors at Crownfinancial.org. Great organization. They have local volunteers who will meet with you and help develop a spending plan.

Hope that helps,

C.

When I was younger, I really got myself into some credit card trouble. I consolidated through a company called InCharge Debt Solutions. They helped me tremendously. I was paying $475 a month in payments and 2 of my finance rates were through the roof. After I consolidated, they lowered all of my rates and my payment was down to $280 a month, which can go even lower as you begin to pay things off. They were really a great help and they might be something to consider. I believe you can find them online at www.incharge.org. Good luck!

Hi L.,

There is a service in Indianapolis called Momentive Consumer Credit Counseling Service. It is not-for-profit and they help establish relationships with your creditors to reduce and sometime eliminate the interest rates and they help develop a plan for you. Their website is www.momentive.org. You can fill out an information sheet on-line or visit their office.

Let me know if you have any questions.

First of all...been there, done that, hated it!!! My advice is to first and foremost cut the cards up. You will just be spinning your wheels if you don't. I had to do that and that was the first step to stopping my bad habits. Second, go buy the book, "Total Money Makeover" by Dave Ramsey or enroll into a Financial Peace University program. A lot of local churches offer it. You can go to www.daveramsey.com for more info. We have followed his plan and are completely out of debt minus my student loan and our mortgage. We have no credit card payments, no car payments...it's great! Just 3 years ago I had a credit card with $13,000 in debt built up, we had two HUGE vehicle payments and...I was at risk of foreclosure...YOU CAN DO IT!!!

I don't want to sound too "saley" my husband is a bankruptcy attorney and can offer bankruptcy alternatives such as credit card relief programming, etc. If you are interested, feel free to reply back to me and I will give you his info. He is located in Chicago, but travels to the suburbs to meet personally with clients who cannot make the trip into the Loop. We too have a 6 1/2 month old girl. Take care.

I used Consolidated Credit Services, a non profit agency, and they were great. I have referred many people over the last 6 years; they have been equally happy. www.consolidatedcredit.org. The website has lots of helpful informationa nd resources. The E Free Church in Crystal lake also have financial classes; call them at ###-###-####. Good luck!

Unfortunately, sounds to me your going to have to find a second job or your ( husband ). I too was in the same situation, at the time we didn't own a house, It was mostly student loans, car payments and credit card. My husband and I had to sit down and face it. We had to work a second job. We didn't like it one bit. However, it did pay off at the end. Debit Free. I know it's easier said than done. Keep postive!
Things will turn around for you.

Hi L.!

I have to ditto previous posters about Dave Ramsey, try to either borrow or go out and but The Total Money Makeover - it will help you and get you inspired.

Do NOT do the consolidation, it will ruin your credit as others have said. What thye do is transfer all the contact information on your debts over to their names and then don't pay them for several months...then they settle for a lump sumcash payment for pennies on the dollar whil still charging you the full amount- that's how they make money!

Do NOT claim bankruptcy, that will cure the problem right now but there are consequences and you need to change your thinking or else it will just happen again.

The most important thing (besides cutting up the cc's) to do is to create a budget and write (or type) it down on paper before the months begins.

I paid off over $20k in one year using Dave Ramsey's plan - it really works if your ready to change your thinking about money! It's really all common sense but sometimes you need someone to sit you down and spell it out for you.

I have put together a budget form in an excel format if you would like me to email it to you. I can help you with it too (it's not my job, I do not charge for it) if you need some help getting started.

Keep your chin up and KNOW that you can get out of this :)