I need major debt help!!!?

Question

I currently have two personal loans, and the interest rate is WAAAAY over the roof and I can't handle it anymore. These loans are from -- gasp! -- Cash Call, and their interest rates is somewhere in the 90's. I was DESPERATE at the time and am now paying for it. From what I know, Cash Call does not work with any debt consolidation companies. What is the best way for me to transfer this debt to a lower interest rate? Possibly another loan? I don't own a home, and have few assets, so I'm limited as far as being accepted for loan. PLEASE, ANYONE, help? Does anyone have suggestions on how to transfer this debt so I can pay it off without having to worry about such a high interest rate?

Thank you so much for all of your answers. One, I do not have credit cards nor am I able to obtain one (or would want to, lol). Two, I refuse to file bankruptcy, no matter how hard my situation is. My only other option is a low interest personal loan, if I qualify. I just want to know if there's a reputable loan/bank that will accept me!

Answer 1

Transfer the debt to your credit card. Then the interest rate will be somewhere around 20%.

Answer 2

Is your interest rate 90% or is that a typo? I have never heard of an interest rate that high. You should check your state laws to see if that is legal. If it is:

Call Cash Call and see if they will lower the interest rate. If you have been a good customer they may be willing to do it. Be sure you talk to a manager because the 1st customer rep you talk too probably will tell you they can't do it, but that's usually a company line and not the truth.

If that doesn't work if you can transfer to the credit cards and get a lower rate.

If you don't have credit cards see if your bank will give you a personal loan. The interest rate on these is also high but may be lower than you current loan.

Sell anything you can cds, books, funiture. In order to get out of debt you will have to sacrifice. Use any money you make to pay down the loan. Also start clipping coupons for groceries and other necessites to help cut down on your expenses. And going out is out of the question for a little while. Also cancel you cable/direct tv and anything else you don't need.

If you can get a second job and use that income to pay off your debt.

If its as bad as you say, you will need to sacrifice until your debt becomes manageable. It will be hard, but think about how you feel now, and how good you will feel when you are out of debt.

Also stay focused on paying off the debt, don't loose sight of your goal!

Answer 3

Ok, the actual interest rate is 90%? This is not from fees and stuff like that, is it? Do you actually have a statement that lists the interest rate at 90%? If so, then do some research and try to figure out what the usury laws are in your state. Some states have laws that cap how much interest can be charged. Credit card companies have a way around this by basing in certain states, but I am not sure that just any loan company can get away with this.

Answer 4

As above answer [from Gerald S], but you could also transfer to one of the companies that offer a 0% on transfers as a short term solution.

Don't whatever you do go down the route of declaring bancrupcy - as this will only bugger up your credit in the future. If you're in the UK (or US?), then go to the Citizens Advice Bureau for some debt advice and help.

Just remember, that there is no "quick-fix" solution - if anyone promises you one, they're a liar!

Answer 5

If I were you I'd go the credit card route. Credit card companies still have bad rates, but (if you pay them) they will report such and your credit score will improve. Getting a second job might be a good option too..I used to be perpetually broke until I learned 1 thing- save 10% of what you earn. Don't pay bills with it, nothing. period. You may say it is too hard, but if you trust me and do it, eventually you'll cut the corners you don't Really care about, and you won't feel the lose (GAIN!!!)

Answer 6

You must always be careful with credit cards, car loans, mortgages and debt consolidation. Persoanlly, I was in debt of over $100,000 at one point in time, roughly 4 years ago. I am proud to say I am now DEBT FREE. It is very confusing on what to pay first how to chop down your debt, but there is a lot of good content out there to help. I have also started my own blog to help people out by talking about what I think is important. Check it out sometime!

http://credit-and-loans.blogspot.com/

Answer 7

apply for a credit card and get the cash out to pay for your very high interest loan. some cards offered by banks with special deals ( no finance charges for 6, 9, 12 mos. etc..).
or, try to work some kind of a deal with Cash Call.

Answer 8

Look for a consumer rights attorney in your area & learn about your rights. The interest rate you state is usurious.

This book will help you research your rights:
https://shop.consumerlaw.org/index.asp?PageAction=VIEWPROD&ProdID=30

You mentioned that you have some assets. Consider selling some to pay off your debt or use them as collateral w/ a reputable bank or credit union to get a decent loan.

Consumer resources: http://www.consumer-action.org/links/

Related links:
http://www.responsiblelending.org/
http://www.affil.org/

Contact TaxCenters, Inc. http://www.taxcenters.net/contact_us.php

This company has an affiliate that deals w/ debt issues.

Answer 9

Actually, I know of one debt solution company that may be able to help-Langhorne Debt Solutions. This company works primarily with settling payday loans and keeps you from taking out another loan. Their services are not free but they are very skilled. Also, depending on where you live, you may have some legal remedies available to you. Check with your state's attorney general and may be some assistance for you. Good luck.

Answer 10

I am going to guess you have no credit card balance available. You may not be able to do much except work two jobs if possible. Companies like Cash Call are predatory lenders. Your other option is to file bankruptcy