I have no money and im in debt. im trying to pay my bills but its just seems impossible i cant even afford making min. payments. i thought about debt consuling but that hurts your credit. so what do i do.
2006-08-09 08:17:19 · 6 answers · asked by jenks1545 4 in Business & Finance ➔ Credit
If you are not able to make min payments, you need to seek out credit counseling. Better to get them involved and lose a few points on your credit score than to have collection agencies reporting you to the credit agencies. Many times the credit counseling people can get your interest rate reduced and the amounts you owe reduced. In the long run, you are better off contacting the credit counseling folks. Just be sure to get a reputable credit counselor. Consumer credit is a good one, it is a non-profit organization that has helped many people. Don't lose hope, there is help. All you need to do is ask for it. Once you get your debt under control it is fairly easy to get your credit cleaned up again!
2006-08-09 08:26:50 · answer #1 · answered by Tatochka 3 · 0⤊ 0⤋
What does your credit look like? Debt couseling doesnt hurt your credit any worse than not paying your bills. If anything, it shows that you know you have a problem and are trying to fix it. Collection agencies cant do anymore than the origional creditor. If im not mistaken, since the origional debt is most likely on your credit as a charge off, it cant be put on there again by someone else. I went through a Debt Management Company and 4 yrs and $37000 later we are cc debt free. It was hard, it sucked and we got screwed in the end but we did it. They did charge us $46 a month for the service. But if your paying, lets say, $1000 /mo in bills and a debt service can get you down to lets say $700 /mo, it might be an option.
2006-08-09 15:49:23 · answer #2 · answered by Paul M 2 · 0⤊ 0⤋
Your credit is already being hurt right now. Talk to a credit counsellor. Talk to your creditors too, explain your situation and that you need advise to make it better. They really will try to help you. Don't avoid the phone calls. It only makes things worse. Consolidate your debts to have lower payments. The creditors are getting money back and they will be fine with that,
2006-08-09 15:27:54 · answer #3 · answered by Fleur de Lis 7 · 0⤊ 0⤋
Not paying the minimum has already hurt your credit. Seek a free, well known debt counseling service. Collection agencies can ruin your credit and get a court order to garnish your wages meaning they will have debt's taken out of your paycheck before you even get it....you don't want that.
2006-08-09 15:22:39 · answer #4 · answered by chris 5 · 0⤊ 0⤋
debt counseling tho' that costs money too- call your creditors and work out a low payment schedule with them, stop buying stuff, sell what you can and forget about credit cards
2006-08-09 15:22:30 · answer #5 · answered by greenfrogs 7 · 0⤊ 0⤋
they can make your credit look real bad
2006-08-09 15:21:37 · answer #6 · answered by Anonymous · 0⤊ 0⤋