I am about $18,000 in credit card debt and have ruled out paying it (actually it's two cards) off the right way... I know, I know but it's just not possible!
Would I be better off settling the accounts or just to begin trying to build new credit? I have been told that settling debt doesn't help your credit score, is that true?
2007-03-19 15:36:29 · 15 answers · asked by macboy987654321 1 in Business & Finance ➔ Credit
THROW AWAY YOUR CREDIT CARDS!!!
Obviously you're not going to do yourself any favors with keeping ANY credit card around.
Paying off ANY of the credit card debit is going to be a great place to start. Settling debt DOES help your credit score more than just ignoring it and adding to the problem.
2007-03-19 15:41:35 · answer #1 · answered by FaZizzle 7 · 2⤊ 0⤋
Pay it off. 200 bucks a month. Remember the new law passed. You have to qualify for Chapter 13. Chapter 7 you need to pay back your debt made by judgement. Pay it down on your own.
So what if you can't have designer clothes. Take care of what you have now. So what if you can't drive that nice car. Take the bus. You'll be more of a man when you square away your life.
What bothers me today is that people TODAY take the easy way out because everyone feels that they have a right to it. When in fact it is a privileged earned.
If you couldn't pay it to begin with why even get a credit card?
Your Bankruptcy will be with you for the rest of your life. Kinda like a felony. No matter where you go it's there.
Get your life and pride in check. Live within your means.
Godspeed.
2007-03-19 15:48:09 · answer #2 · answered by JNM 2 · 0⤊ 0⤋
Well, aside from the fact that you owe the money you spent (which is no small point, incidentally...) Waiting seven years really isn't an option.
In case you haven't been paying attention, the credit card companies WILL come after you and everything you own. They'll harass you for awhile, but that's just the warm-up. When it becomes clear that you have no intention of paying up, they'll take you to court and get a judgement against you to garnish your wages and take whatever personal property you might have to cover your debts.
And if you think you can't afford the payoffs, that will seem kind by comparison.
If you think you can work out a payoff with them, do it. NOW, while they're still willing to talk to you about it.
2007-03-19 15:51:50 · answer #3 · answered by ISOintelligentlife 4 · 0⤊ 0⤋
Very true ,do not waste the money or your time . Wait a while then dispute the item on your credit , Keep doing this eventually someone will mess up and think they already sent your dispute response to the credit bureaus . The older the debt the easier to remove .
2007-03-19 15:42:29 · answer #4 · answered by Anonymous · 0⤊ 2⤋
call a third credit card company. tell them you want to transfer the entire balances of 2 credit cards to theirs, but only if they can guarantee a fixed x% interest rate. Then pay off the 2 cards, and have 1 payment at a lower interest rate. a bank is willing to make a $20,000 loan at 9% than a $0 loan at 0%
2007-03-19 15:40:47 · answer #5 · answered by Anonymous · 1⤊ 1⤋
OK, but the 7 years sometimes doesn't start until they send it to a collection agency. So you might be looking at a lot longer. Also, the collection agency can sometimes find ways to extend the time, though you can dispute that.
2007-03-19 15:44:43 · answer #6 · answered by Kacky 7 · 0⤊ 1⤋
file bankruptcy. if you are not paying these bills on time and are always late and etc... your credit may already be ruined. i have filed bankruptcy and was able to keep my home. i dont regret it one bit! you can still get credit later on just with a higher interest rate.
2007-03-19 15:40:14 · answer #7 · answered by stupidgirll74 2 · 1⤊ 1⤋
You should try to settle, you ran up the debt and it should be paid. Try to settle for a third of what you owe.
2007-03-19 15:40:21 · answer #8 · answered by Anonymous · 1⤊ 2⤋
yes it is true, it hurts your score. you could just file for chapter 13 bankrupty. talk to a lawyer, or if you own a house you could refinace the debt
2007-03-19 15:39:58 · answer #9 · answered by Sundown 3 · 1⤊ 1⤋
file for bankruptcy and rebuild the credit.
2007-03-19 15:44:55 · answer #10 · answered by Anonymous · 0⤊ 1⤋