5 months behind on credit cards?

Question

what if you are only sending 20.00 a month on some credit cards received letters from collection agency and a threatened letter stating they going to take me to court the first letter i receive? what then? but at least i'm paying something right?

Answer 1

Are you paying at least the minimum? How could you be behind if you're paying $20 a month? You could always call the credit card companies and try to work something out with them. I don't quite understand how you can be 5 months behind AND paying...

Answer 2

I've heard that it is helpful to pay something but if you don't pay the minimum payment they jack your interest up to over 20%. You will never get them paid off at that rate. You may be able to approach each company and ask them to make some type of payment program at a reasonable amount of interest. If not, you may want to find some of the consolidation people. There are some that are free. Do not pay a large amount of money for people to do this for you. Then chop all your credit cards. You are living beyond your means. You also might want to consider a second job until you get out of debt. A second job will keep you busy so that you can't go out and spend besides helping to get those balances down.

Answer 3

Wrong. This isn't a pay what you want kind of business. They always say they are going to take you to court. Do not avoid them. Talk to the credit card companies and set up a payment plan you can all agree on. This should take into account that you are now going to work extra, get a second job, budget to save every cent, etc...All the extra money you make should be thrown at the debt.

Answer 4

You should try to get the cards consolidated. There are non profit rganizations that can help you failure to meet these payments will result in very high interest.


Good luck!!!

Answer 5

Wrong, if you are not paying the minimum payment you are in default of your contract. They are within their rights to do what they are doing.