I only make $9500 a year on disability and i owe should i be worried?

Question

I owe $800 on credit card and $800 on loan, should i be worried
about this?

Answer 1

no seeingg how you are on disablity payments hons the first thing they tell you is there are no strings attached too it being on it with a govrment check no one can sue you or take money away from you hons1(UNLESS IT INVOLVES CHILD SUPORT OKAY) NOW THE ONLY BAD THING HONS, IS THAT, YOUR CREDIT RATING WILL BE MARKED AGAINST YOU SO WHEN YOU TRY AND OPEN ANOTHER CREDIT CARD, FORGET ITT NO CAN- DO YOU WONT GET ITT!!

Answer 2

If you have debts that are medical bills, write the doctors or hospitals letters about being disabled, that you have no money, etc. and most will write off the debt or reduce it by a great deal. Always make a copy of your letters you write and place the date mailed on them. If you receive phone calls about the medical debt, write down the persons name, date they called, and let them know you have written a letter to their company and are waiting for an answer. Address the letters to the Owner or Manager of the doctors office or hospitals. You may need to call each company to find out who is in charge so you can direct the letters to the correct people. On the credit cards or loans, read my info below.

First thing of course would be to cut up the credit cards and make a commitment to never charge again. Then follow the following plan.

Make a list all your debts by amount you owe from smallest to largest. Then begin by paying the "most" amount you can each month to the smallest debt with the idea of paying it off quick. Then, only the other larger debts on your list. Continue doing this every month until you have the smallest one paid off. Everytime you pay off a debt, call the company and tell them to close the account ... that you paid off the debt and that you do not want to leave the account open. They will try to talk you into leaving the account open. Don't do this as it is too convenient and you will be tempted and will sink into debt again. You then start paying the most you can on the next smallest debt in line and go on from there until you have each paid off. Every time you get any extra money, whether it be $5, $10 or more, apply it against your debt even if you have already sent in a payment. You can send in payments more than once a month. Don't go out to eat. It's "beans and rice, rice and beans" as Dave Ramsey always says (which just means cheap meals). Also do things to make money like garage sales, sell on eBay, get a second job, anything to help you get money to apply toward that debt. It's not about obtaining the best credit score, it's about eliminating the debt.

You can get more help on how to accomplish this by reading and listening to Dave Ramsey. He has a talk show which you can hear on line through his archives, or live by entering your zip code and find out what time of day his show airs. Plus there is a lot of reading material on his site to get you started. In addition, he has forums from his site to get help and advice from other people who are in debt. Dave has been there (with debt) and knows what it is like and is now helping people to get out of it. There are people that have followed this method with over $100,000 in debt and have gotten it paid off without going through bankruptcy and without getting some debt help company to do it for them. Have an open mind and be willing to sacrifice in order to live a stress free life with no debt.

Dave's website link is below.

I hope this information helps you and you get the relief you need.

http://www.daveramsey.com

Answer 3

Yes.

Call each one and tell them you are on disability.
Most companies will work with you to help you pay off loans so long as they get back about half. Tell them you are on disability. They will ask for proof. Most of what you owe is interest anyways. Just call them and lay it out. Mostly you can get it reduced.

Answer 4

Disability payments are exempt from garnishment. Can they still sue? Yes. But all you have to do is make arrangements with the representing attorney. However, I would first try to contact your creditors and present a good faith effort to make a payment arrangement.
Above all, do not file for bankruptcy. It will worsen your credit for 10 yrs and since you're income is exempt, it's not necessary.

Answer 5

Depends on how far behind you are.

Most creditors will listen to your problems, they simply want repaid. You have the option to make arrangements, go to a credit consumer group and have them work out payment plans (you will lose any credit cards with this method), or file for federal bankruptcy protection.

Discuss your options with family and friends before making your choice.

Answer 6

If you are spending more than you are taking in then you should be worried regardless of the $1600 in debts because you will be going further into debt. If you are 'getting ahead' by some amount then you should be fine until you run into some sort of emergency expenses.

Answer 7

i pay my credit card bills with the money i make from reading emails... see my 360 page
hope this helps.
being in debt sucks!!!

Answer 8

as long as you can pay it back and you don't anticipate any high costs like an operation or medicines, it's ok for now but don't buy anything, and pay down the debts.