Best way to get out of credit card Debt?

Question

I started my own business and didnt borrow enought money from my bank to start up the business and now I have aquired a substantial amount of credit card debt. Does anyone know what companies will credit counsel me and help me get out of debt without using my house for colateral. My husband would kill me if he found out?

I have stopped charging i cut the cards up....but you dont understand.....Im having a hard time paying the minimum monthly payment. I need other help.

Answer 1

For one thing your secret from your husband is going to destroy both of you emotionally and financially so don't you think it's only fair to get him in the loop on your mistake if you are looking to correct it? Remember the "for better or worse" thing? So often people keep secrets from spouses and yet they are just as guilty. But, to answer your question you need to pay off those debts one bill at a time but STOP using those cards right now. If you cannot afford something, don't buy it. PERIOD. If you feel you need a consumer credit counseling agency, check out the link below. Forget about debt consolidation... that only spreads your debt around. You owe what you owe so make a plan to pay it by increasing your income or decrease your expenses. You dont have to close your credit cards but get them out of your wallet and out of your hands until they are paid in full. Now, get a good night's sleep and figure out how to turn your business around to make more money by investing less money into it or close it down. Too many people just keep adding to debt out of fear. Be true to yourself... and to your hubby!!!

Answer 2

The best way to get out of debt without going to credit consolidation is to:
1. Make a list of all your credit cards.
2. Find out the interest rate on each one.
3. Figure out how much you owe on each one and what is the minimal pay each month.
4. Choose the card with the highest interest rate and start making extra monthly payments. e.i If the minimal amount is $50.00 you make a payment of $100.00.
5. Keep on making the minimal amount payment on the rest.
6. Once you have paid off the first credit card go on to the next highest and make the extra payments with the extra money you have from that first card. e.i. If the minimal payment is $50.00 you make a payment of $150.00 because you are adding the $100.00 you used to pay to the first card.
7. Once you have paid off all your cards choose two that have a good rewards program and low interest rate and cut up the rest.

This is what my husband and I have done over these past 3-4 years and thank God now in 2007 we are very close to being debt free. And that is an awesome feeling.
If you go to a financial counselor your husband will find out anyway. So try this first if it does not work then try your last resource.
* note: If you want your husband to trust you with finances try not to hide anything from him. Things run smoother when things are not hidden from each other. Good luck and God bless.

Answer 3

Calm down...the simplest most effective way to get out of debt is to pay them down. There are different ways to pay them down: If you're credit is good it shouldn't be a problem to transfer some balances to another credit card with 0% APR. Focus on the card with the highest interest rate; not highest balance. As soon as you bring that balance down to a safe $200, you could move on to the next highest interest rate card and so on.
If you're credit is not so good try the same approach as above but only with a few selected cards such as Capital one, they're more lenient to offer credit.
If you know you wont get credit, pay off your cards on time for at least 6 months; it should bring up your credit score a bit.
Credit counseling companies usually charge you for the very same thing I'm saying and end up doing the same thing.

Answer 4

I think the answer above is exactly correct. Quit charging anything new on the cards, and only make payments. But it sounds like you also need to find new income or save money somewhere, but you have to get rid of the CC debt because with interest it will destroy everything else.

Answer 5

i imagine it really is often extra efficient now to not do financial ruin, which will damage your credit document worse than mere cost-offs and collections will. yet for sure it relies upon on dissimilar aspects. you may want to also evaluate credit counseling. Your lenders can take you to court and sue you to get a judgment. The judgment might want to convey about garnishment of wages or a lien on your position, or get admission to on your bank account. be conscious that those thoughts are quite constrained -- financial ruin is ordinarily a thanks to guard your resources from lenders -- regularly not mandatory for unsecured debt. be conscious that your subject with charge playing cards is a thoughts diverse than the guy above who had medical charges. diverse guidelines observe. I very a lot doubt something as draconian might want to ensue to you. and also you aren't getting arrested for not showing up in court. you merely lose default judgment. extra in all probability, they're going to under no circumstances take the step of suing -- that takes time, money and attempt. yet no guarantees. Your state has a statute of limitations, and then lenders can't effectively sue you (varies, regularly about 3 - 6 years). you ought to analyze that, and what triggers the "clock" and what if something can restart the clock on your state. some human beings merely wait it out til SOL expires, then take action to sparkling up their credit comments.

Answer 6

What you need is a budget. To get on a workable budget, you need to tell your husband. If you BOTH are not involved, no advice anyone gives will work. Not even a credit counselor can help unless BOTH of you are involved.

Answer 7

Do as many balance transfers as you can!

I got out of debt by applying for several cards that had 0% interest on balance transfers for a year. I transferred all of my debt and paid it off that way.