I owe approx 30,000 and I'm only 27 years old. I just wanna fix my credit. It sucks to have bad debit u cant get #$%#. I dont wanna deal with that later in life.
2006-08-25 11:44:43 · 8 answers · asked by stayfocus114 1 in Business & Finance ➔ Credit
I filed a little over 3 years ago when I was 25 and I owed about 35,000. It was hard at first after I filed...but less then 2 years after, I was approved for a car loan.. I have 3 credit cards now (just so I can build my credit back up) and my credit score is 670 and rising. Make sure you are on time for everything and do not go overboard with credit cards..I wasnt able to file my student loans...If you file, you have to be patient because it is like starting over but for me it was worth it. Hope this helps:)
2006-08-25 16:12:27 · answer #1 · answered by Katie 2 · 0⤊ 0⤋
Unsecured credit card debt is just that - unsecured. If you are willing to have your credit record go back to zero by laying low for seven years, you can simply not pay. This requires some jostling in your life - you will need to get a post office box for your main address and change jobs if your current job is known by your debtors. Once you become a 'mailbox' person, then you simply wait. Most states have a time limit on collecting - CA is three years.
Not paying is not illegal, morality is the issue. You can also negotiate with your creditors and pay 1/4 of what you owe. This does not clean up your credit report and may not make you eligible for new credit.
Secured debt is an entirely different matter and the only one for which I feel bankruptcy should be considered - if you own real estate and owe state or federal taxes, then see an attorney.
2006-08-25 11:58:48 · answer #2 · answered by lotusdcr 1 · 1⤊ 0⤋
A bankruptcy will be reported on your credit report for 10 years. It may not take that long to rebuild your credit, but bankruptcy is the biggest black mark you can have. I would recommend it ONLY as a LAST resort. Alice S recommended credit counseling. I agree. I do not mean a 'credit repair' service. You want someone who will advise you on managing your finances and paying of the debt. If they contact your creditors at all, it should only be after determining you cannot handle the debt without renegotiating.
2006-08-25 12:42:50 · answer #3 · answered by STEVEN F 7 · 0⤊ 0⤋
Have you considered credit counseling? I was in a more severe financial situation when I completed graduate school, between college loans and credit cards. Non for profit credit counseling services consolidate your dept so you only make one monthly payment, and they help you lower your interest rates and monthly payments. I have included the link for the agency which I used, but there are many different non-for-profit agencies which do the same thing. Plus, going through credit counseling actually improved my credit rating, and I was able to get approved for a mortage only 5 years later.
Just remember, this is a free service from a non for profit agency. They may try to pressure you into making a monthly donation, but you are not obligated to legally, and they can not deny you services for not giving them a donation
Best of luck!
2006-08-25 11:54:26 · answer #4 · answered by Alice S 2 · 0⤊ 0⤋
It will be 14 years, probably more, before you fix your credit if you file bankruptcy. Otherwise you are out in 7 years with a little work.
Age 27, No way ! Do not do this !
2006-08-25 11:50:11 · answer #5 · answered by The Advocate 4 · 0⤊ 2⤋
How to Avoid Bankruptcy Explained
http://www.debt-explained.com/category/How-to-Avoid-Bankruptcy-Explained.html
2006-08-26 00:10:37 · answer #6 · answered by Anonymous · 0⤊ 1⤋
Don't listen to the guy above. IT doesn't take 14 years.
However, You cannot file against credit card companies anymore, and i'm betting that is where most of your debt comes from.
2006-08-25 11:52:09 · answer #7 · answered by Anonymous · 0⤊ 1⤋
i think of financial ruin continues to be on your checklist for seven or ten years... additionally, your credit would be rock-backside and you will no longer have the potential to truly rebuild your credit during that factor. yet once you slowly pay off your debt, you may start to rebuild your credit precise away. in assessment, $20,000 may be paid off in ten years for as low as $166.sixty seven in step with month. 5 years in case you double up the quantity. you may attempt to artwork with your lenders to get them to decrease the debt (settle), decrease expenditures of pastime, or artwork out some form of charge plan. lenders desire their funds so a number of them could be influenced to artwork with you. i'm guessing you will no longer continually be unemployed, so looking a task which will pay you sufficient to make the pymts is fundamental. it extremely is a pair of web pages that could help you. solid good fortune!
2016-12-14 11:58:47 · answer #8 · answered by kleid 3 · 0⤊ 0⤋