How do I make my debt go away?

Question

I am 20 years old and I feel as though I have so much debt. I have a credit card that is $500 and its maxed out and then one for $300 maxed out and another one for $400 which is 1/2 way maxed out. Then I have two payday loans each $400 which I'm making payments on....I make payments on all of these every month but it doesn' feel like I'm getting any closer to making them a lower balance. I pay a lot a month too...

Answer 1

Kerilynn, the first thing you need to do is to get rid of those payday loans. They will suck you dry. Their interest and fees are horrible. Get rid of those, then start making regular payments to your credit cards. Stop using the credit cards and carry enough cash to carry you between paydays. You make have to adjust your lifestyle a little, and while your debt isn't horrible, you didn't say how much you earned. If you have a low paying job, that debt could hurt you later on. You have around $1200 in debt. That isn't a lot. Get rid of the payday loans, then go see a lender about consolidating your debt into one loan. If the interest rate is good, you could pay it off in a couple years. At some point, you are going to want to buy a house and you will need to eliminate as much debt as you can.

Answer 2

First you need to put away those cards, if not destroy.

Then you need to figure out which card has the highest APR, and try your darndest to pay that one off first.

Always make double or more payments, like if your minimum payment is $15 pay $30 or more.
I think that I heard the PayDay loans are the most expensive ones out there like 100%or more APR.

You need to cut back on whatever it is that you are spending your money on.
If it is food, go to your parents and eat a few times a week, I am sure that they would be happy to have you.

If it is clothes, be content with what you have, and stop buying more.

Write down EVERY penny you spend and what you spend it on.
Once a week take a look at it and decide if you can cut out certain things.

Like another good example is, If you buy coffee every morning, for lets say $1.50. In a week (5 days) that's $7.50. At wal-mart you can buy a small coffe pot for $10.
So sometimes it makes more sence to pay more now to save more later.

Pack your lunches, instead of buying fast foods, or going to resturants.
Pinch your pennies.

ALSO, call the credit card companies to see if they will lower your interest, if not threaten to TRANSFER your balance to another credit card. I get offers in the mail all the time for 0% interest for 12 months with no balance transfer fees. BUT you must pay it off before the 12 months are up or you will have a hell of a APR to pay.

Answer 3

in your situation i would pay all the minimum payments except for the loan that you are paying the highest interest. these would be your payday loans. do not spend any more money with your cards. if you are not able to do this then have the cards deactivated. or simply just cut them in half. now with the highest interest loan just pay as much as you can above the minimum payment.

now. if you have decent credit and and a decent job. this is a much better way.

go to a bank and get a personal loan. pay them all off with a personal loan, then pay the bank loan. here is the advantage.

credit cards about 19-26 percent interest
payday loans about 40 percent interest
personal loan from a bank, about 6 percent interest.

youll be paying much less money in interest than you currently now. so more of your money goes to actually paying back the loan

the lowest loan you will be about to get should be around 2k, which is about what you have.

can anyone help me. i have a couple small credit cars. lost of hospital debt, almost 1k to an appartment. couple hundred to a phone company, 35 to comcast. and about 19k to a school i got nothing from and havent payed a dime on.
oh and over 600 to my fiance.

Answer 4

If you acknowledge a debt (i.e phone the debt collecting agency) it will be ANOTHER 6 years to wait til it goes statute ! You are best to ignore them and not reply. Just, make sure you change your bank account. Get a basic one that doesnt require a credit check, then they will have very little chance of catching up with you. The only way a debt can be written off is if you have a disability. You should give debtline a phone, they are very good at dealing with these sort of things. They can send you out scripts to send to the companies, making token payments of 50p a week cause you have so many other commitments. If a collection agent comes to your door, remember that they are nothing special. They have no powers and you are entitled to slam the door in their face and laugh whilst doing so !! Good luck ############ Re: will someone turn up at your door. They could, but there's not a lot they can do to be honest! (unless they have a warrant of sale or summit) They take different action for different things. Things like utilities (gas, electricity, community charge) have severe legal consequences, whereas things you have on HP or credit are less severe (catalogues, tv's etc) You could work out a payment plan, and pay them at a ten quid a week. It's your choice.. don't let their red letters get to you though. They are worded to sound threatening

Answer 5

First of all, you need to get these credit cards paid off and quit taking out those small payday loans (at high interest). These organizations are in business to make money (your money). Now what I am suggesting will take some will power from you, but I am trying to advise you as one who has been through bankruptcy (I am trying to get you on a path that will get you out without ruining your credit). It is tough to live on what you earn, so I am not being condescending here.
First, establish yourself a budget of your monthly expenses. You will need to pay more than the minimums on your credit cards each month. Quit charging to the cards and do not make late payments (this costs plenty if you are late). After you have established your budget (which will require discipline to follow), stick by it. If something happens like a car repair (be sure to include something in your budget in anticipation of car repairs), do not borrow from one of those high interest short term loan companies - that will get you in trouble (as it already has). Instead, seek a loan from your bank or credit union or some other lower interest establishment. Do not get any more credit cards! That move will get you to bankruptcy faster than anything. Stick to it (it will not correct over night) - you have at least recognized that you have a financial problem. Now, hang in there and take care of it! Good luck.

Answer 6

Cancel are your credit cards and leave those payday loans alone. They just put you further in debt. You have to pay more than the minimum balance due. You could also due a consolidation loan. All your bills will be combined into one monthly payment with a low interest rate.

Answer 7

Pay the minimum plus the interest on the cards that are maxed out.
Pay the minimum on the other card.
Pay OFF the payday loan.

Get a second job if you have to.

If this doesn't work for you, contact www.CashCall.com to get one loan to pay everything off. They are not a payday loan and will approve you the next day.

Answer 8

Get a temporary second job (I had to do this once) until you get the loans under control or get a boyfriend with a good job.

Answer 9

fake your death, then move to Mexico and buy a house for 5,000 USD.

Answer 10

Your ****** just like me