i am in huge debt, the banks won't help me and i'm drowning, whats the best way to get out of this?

Question

my only plan was for 72 000 people to send me $1 and my problems would be over. but that might not happen. i have a good income but cannot manage my money at all.

Answer 1

If you have a good income, why you are in debt in the first place??
If you cant manage your income, seek a non-profit financial adviser.
Make up a budget. If you know that banks wont give you a loan.. you must stop asking for one..

each time you apply and they check your credit. ... your credit score drops a bit. If you ask too much for credit.. it will look really bad on your report.

If banks are calling you because they want their money, ask them for a payment plan. Like a 3 month. Ask them what is the absolute minimum...
sure that money wont cover anything (it will go to late payment fees) but at least you will get them off your back for a lil bit.

You can file for chapter-7....
but if you make too much money.. that trustee (the one that oversees the bankruptcy) is not going allow the bankruptcy..
I would suggest you seek a bankruptcy attorney..
ask for a free consultation.... and he/she will advice you if qualify for a chapter 7. If you dont.. then apply for a chapter 13.. you will be paying off ur debts still but, you will be paying portions. Also.. seek a credit counselor..

that will help lower payments and interests as well.


Good luck

Answer 2

Step 1. Stop buying stuff.
Step 2. Stop gambling
Step 3. Write down what you spend all your money on (Budget)
Step 4. Sell your expensive toys (fancy car, boat, house etc..) and buy cheaper ones that will still get you where you need to go
Step 5. Develop a plan to pay back the most expensive debts first.
Step 6. According to all the experts you should pay off the debts before you start saving. I still think you should put some money into a Roth IRA just for the long term tax savings it will give you.
Step 7. Retry the 72,000 $1 plan. You never know, it might work.

Answer 3

I do not know where you are located, but you can try your local Consumer Credit Counseling services who can consolidate loans for you by getting the interest rates knocked almost off. Thus, lowering your debt substancially. Therefore, you would be making one payment to this agency rather than a bunch of payments to different people/companies.
You said the banks will not help you, so I assume refinancing or a home equity loan, etc is out of the question.
There are also private companies that you can search on-line for that can consolidate debts for you as well. But beware on those by checking with your Better Business Bureau ("BBB") to be sure they are on the up and up and are a BBB member.

Answer 4

Seek advice from a debt couselor. They will help you try to solve the problem you are in now, and also try to teach what you can do to better manage your money once you get back on track. You need to write out a budget and stick to it. Your money is just like your diet. Everything in moderation. Its okay to splurge once in a while, but if you do it all the time you are going to run into serious problems. I have advised people on their money in the past and would be happy to offer any advice that I can. Good Luck.

Answer 5

Go on line and look for Consumer Credit Counseling Service, (your city). This is a non-profit organization that will sit with you, determine exactly how much debt you have and then contact your creditors to negotiate monthly payment. They will then set up a payment plan for you, you will send them one payment each month, and they will pay your creditors from that amount. They also have training that will teach you to better manage your money. You will be required to cut up your credit cards, and most companies will not consider giving you additional credit while you are working with them or for awhile after you finish paying off your debt, but you will have cleaned up your credit. Beware of a companies that require you to pay a fee for this service. Those are rip-offs.

Answer 6

You need to plan out a budget on paper. It really does work. You are in a lot of debt but, there are not profit organizations that can help. Watch your television for ads that ask, if you are in debt over so much money. They will give you a number. If you have to, borrow against your 401K but, only if necessary and as a last resort.

Answer 7

Sure, that would solve everyone's debt problems. If one million people send you one dollar/pound a piece then you will be rich and never have financial trouble again! Good Plan, but i doubt you will find people to give you one dollar.

So, you might want to think about filing for bakruptcy.

Good Luck, hun!

Answer 8

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Answer 9

Try a credit consolidation program..there are many around ...they will help you consolidate your debt and pay only one monthly fee...Of course they will want a piece of the pie but they will get the creditors of your back and give you a little breathing room...Good LUck

Answer 10

I saw a book once about loosing weight, it only had one sentence “stop eating so much” the rest of the book was blank.

You don’t need to learn how to manage your finances, you just need to stop spending money on everything except PAYING YOUR BILLS!