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i am in it way over my head and i fell behind with my payments. i am looking for a credit consolidation company or something that will help me get out of this mess. does anyone know the best thing to do?? please help!!!!

7 Thoughts on credit card debt…..help?!?!?!?!?
  1. Reply
    Fish breath
    November 19, 2011 at 6:16 am

    Contact the creditors, work out an arrangement. Debt consolidation is no panacea.

  2. Reply
    Jen S
    November 19, 2011 at 7:01 am

    Them kind of companies r a nightmare. Work with the CC companies! Take it from exp.

  3. Reply
    CatDad
    November 19, 2011 at 7:16 am

    STAY AWAY from any “debt consolidation” program that involves debt settlement. Debt settlement is a risky tactic where you pay a monthly fee to a debt consolidator….this entire fee goes towards building a settlement account and to the consolidator’s fees to “settle” your accounts in the future. Your credit card companies will deliberately not be paid so that all the accounts will default/charge-off so that they can attempt settlements at around 50%. If you are current on your accounts, this process will ruin your credit rating for sure. Debt settlement is like a roll off the dice with your finances…You can never predict how your creditors will respond to the deliberate defaulting of your accounts…they might settle at 50%…or they might serve you a summons, take you to court…and if they win, you could be looking at wage garnishment.

    You could enter a Debt Management Plan (DMP) with a non-profit credit counselor like CCCS (Consumer Credit Counseling Services). They can negotiate lower payments and interest rates. They do not negotiate settlements.

    They will require you to stop using all credit and to cut up your cards. Your credit report will be updated to “enrolled in debt management.” This does not damage your credit, but it may make it impossible to obtain new credit while you are enrolled in their program….so don’t use this service if you anticipate applying for a new apartment, car loan or mortgage anytime soon, as you would probably be denied while you’re enrolled in the CCCS debt management program…. Otherwise, it can be a very good way to deal with your debt. Please note that CCCS cannot perform miracles in situations where there is an overwhelming level of debt relative to your income/assets.

  4. Reply
    Nebraska Born and Raised
    November 19, 2011 at 7:53 am

    Might want to read Dave Ramsey’s “Total Money Makeover”-get it at the library. It tells how to start snowballing on debt.

  5. Reply
    Dennis E
    November 19, 2011 at 8:40 am

    With debt settlement, your monthly payments are lowered and you are out of debt after 36 months. All fees are included in that lower monthly payment as well.

  6. Reply
    Samuel M
    November 19, 2011 at 9:13 am

    The credit card debt consolidation option that will work for you depends on personal factors, such as the amount of debt you have, your current credit rating and how important that is to you, and whether or not you have equity in a home. With good credit and no equity, a possible option is to see if you qualify for an unsecured loan for your credit card debt consolidation. If you are unable to get an acceptable unsecured loan, and you have no equity in a home, options such as debt settlement or credit counseling could be the way to go. As per my experience I recommend you go for Freedom Debt Relief, Their debt reduction program helped me lower my credit card debt levels.

  7. Reply
    Lizzie
    November 19, 2011 at 9:20 am

    If you will like to become debt free soon then you should try settling you debt. Debt Settlement is where your debt gets negotiate in order for you to pay back a lower percentage of what you originally owe. You will achieve savings anywhere from 50-70%. In other words you would be paying back your creditor 30-50 cents on the dollar. If your accounts are slightly or significantly delinquent at this point then making settlements is going to have a direct improvement on your credit because it will show that these accounts are resolved. There are some companies that will require a monthly payment but there are also companies that will tell you to save that money in a personal checking account that will be 100% under you name and your control only instead of you sending monthly payments. If I was you, I would rather go with a company that lets me be in control of my money because I know that my money is save all times, instead of going with a company that requires monthly payments that 1. will charge at types of fees if I cannot send the money on time or send the amount agreed, so in a way they are like the creditors and 2. at any time the company may disappear with my money so now you will be into more debt. A great thing about debt settlement is regards to your credit score is that it will start to increase as the accounts get settled. When you complete the program, your credit score will not be perfect because you used a third part to help you but it will be decent and you can always do a credit restoration if you would like your credit score to increase quickly. Before you join a company, please make sure you check their BBB rating to make sure that they have an excellent rating (A+) and that they have been in business for many years. Please keep in mind that just before you call a company to ask for information, does not mean that you are committing to it. Please make sure that you do a very good research and join a company that will offer you great things like:

    *You are in control of accepting or rejecting offers so you will be happy and satisfied once a settlement is reached. Off course they will give you advise

    *Their commission is based on the money they save you and NOT on you total debt. You will achieve great savings with a company that charges their commission based on the money they save you because the more money they save you, the more money they will receive so it is a win win situation.

    *They let you be in control of your money so you know that it is save 24/7 and you know that they will not disappear with it and put you into more debt.

    *They let you decide which creditors you will like to enter in the program.

    *They take care of the harassing phone calls

    Please take may advise into consideration so you make a wise decision.

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