I have substantial credit card debt and someone told me to just file a chap 7 but that stays on your credit for like 10 years. Also I think the bankruptcy laws have changed and you still have to pay off the debt. I know if I try doing this on my own it will take a looong time to pay off because of the interest. Im a single mom that does not currently get child support so Im trying figure out how am I going to do this. Help!
2007-10-15 05:04:22 · 6 answers · asked by HotKoko 2 in Business & Finance ➔ Credit
I have filed for child support. My first court date is Nov 26th.
2007-10-15 05:46:07 · update #1
Yes I do work full time. As I mentioned above Im a single mother and not currently receiving any child support so paying all of my current bills and taking care of our needs is a struggle. It would be a little easier if I were receiving child support because that would be extra income. I understand that it will take some time probably 36 months to pay everything off.
2007-10-15 07:29:27 · update #2
Before you do bankruptcy and have it on your report--you should talk to a credit counselor to see what your options are--there is a program where you can reduce your interest, payments and consolidate. This doesnt hurt your credit at all--actually, it helped mine bc the credit cards still report every month that your payments are on time and in full. take a look and call them
http://www.debtcounselingcorp.org
2007-10-15 07:07:24 · answer #1 · answered by Blondie 3 · 0⤊ 0⤋
You didn't mentioned anything about your income. Do you work? If you do and still having problem paying your debt. You might want to get a higher paying job or get a part time job. I would not suggest you to file bankruptcy. It will only make your life much more difficult for the next 10 years. If you don't work, I would suggest you to find a job soon and not to only depends on child support. Also take a Personal Financial Management class in a community college. That would help you on budgeting and paying off debts. Good luck!
2007-10-15 06:36:04 · answer #2 · answered by Anonymous · 0⤊ 0⤋
If the interest really makes it impossible for you to make a dent in this I would consider calling a credit counseling service as they can lower the interest rates in some cases. Keep in mind though that this will have a negative affect on your scores as well so make sure you consider the consequences.
The only good method I know of that you can do all on your own is first calling and asking for lower interest and then using the snowball method. Put all your accounts in order from highest interest to lowest and start with the one with the highest interest. Pay the minimum (or a little more whatever you can afford) on the others and put every extra cent you have into your highest interest debt until it's paid off then take whatever you were paying on that one and add it to whatever you are currently paying on the next one and keep doing that until they are all paid off.
2007-10-15 05:36:38 · answer #3 · answered by Delaina77 3 · 0⤊ 0⤋
on the outdoors I could trust the different responders. pay off the mastercard debt then tear them up. yet certainly the perfect answer would be greater complicated than that. in case you pay off the mastercard debt and then turn around and rack up greater debt on the credit enjoying cards, you have no longer something to tutor to your problems. regrettably, many human beings fall into that capture. won't be able to help spending the money they have not got. Now in case you placed the money right into a Roth IRA account, that funds is going to be particularly perplexing to get to interior the destiny and is greater veritably secure from being spent. In different words this is an investment on your destiny. the turn away is which you will nonetheless have that miserably mastercard debt racking up activity at a cost this is plenty larger than you may anticipate to obtain on any investment you may make on your IRA account.
2016-10-20 07:40:37 · answer #4 · answered by ? 4 · 0⤊ 0⤋
Try contacting one of those debt management companies, ie Consumer Credit Counseling, if there's one in your area. They contact your credit card co's and make payment arrangements with them. I'm not sure if there's a fee, but they can often get interest charges reduced and make your life more manageable.
Good luck!
2007-10-15 05:13:53 · answer #5 · answered by mamarat 6 · 0⤊ 0⤋
Here's a link to Consumer Credit Counseling Services (CCCS): http://www.nfcc.org/ . They are a non-profit company offering free counseling. They also have a debt management program available, if you qualify, for no fee. They can review your finances and advise you how to proceed.
I suggest that you pursue that child support for starters.
2007-10-15 05:25:37 · answer #6 · answered by bdancer222 7 · 0⤊ 0⤋