does being in a debt management scheme?

Tips and Deals Forums Debt Management does being in a debt management scheme?

  • This topic has 8 replies, 1 voice, and was last updated 9 years ago by Anonymous.
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    • #206258

      affect credit ratings?

    • #433112

      Pay bills on time and stop buying so much

    • #433113

      fake your death. your cause of death could be… ”Looked at Chuck Norris directly into his eyes which resulted in a fatal roundhouse kick to the skull”.

    • #433114



    • #433115

      run away to sub saharan africa

    • #433116

      The collection of answers you got were by far the oddest I have seen in this category, but, they did make me chuckle…

      The obvious answer would be to pay your bills off no matter if you have to get 2 or 3 jobs..either that, or go through non profit debt counseling..if that still doesn’t work, you may have to consult with an attorney and see if you are a candidate for bankruptcy.

      Don’t mind the silly answers here. LOL

    • #433117

      Yeah, there are ways. Being in debt is definitely not the world’s end. However, what it needs is courage, patience, planning and determination to ward off debts.

      There are also professional helps available in the form of debt settlement programs, debt management programs and debt consolidation programs. However, it’s also not difficult to ‘do it yourself’. You may check out with the source given below.

    • #433118

      Win the lottery. That’s probably the easiest way… You’ll probably get into more debt though.

      herre are some pointers.

      -spend less, shop at discount stores such as ross, 99cent only stores, etc
      -don’t eat out as often. learn to cook. it will save you lots of money.
      -limit your driving. gas costs money.
      -sell your unneeded assets. craigslist, ebay, recycler, yard sale…
      -sleep more. you’ll eat less, use less power, use less gas, etc.
      -take another part time job. find some time where you are free, spend that time wisely. if not, try to take in more hours.
      -create a budget. figure out your income, and expenses. figure out your cash flow which is how much money goes in and out of the wallet. just figuring out these numbers is amazing.

      do not’s:
      -do not speculate on investments.
      -do not gamble
      -do not give away free money
      -do not waste money.
      -do not spend your money on bonds, bills, stocks, certificate of deposits, etc. they generally will not help you.

    • #433119

      You need to stop spending now and concentrate on becoming debt free. Please do not consolidate or use a debt reduction company . It is not free, they will lower your payments by increasing the length of time until you are debt free, and you will take a hit on your credit score. Or they negotiate your debt down after telling you not to pay for awhile adding another hit to your credit score. Student loans are the only debt that can garnish your wages for non payment without taking you to court first. Just list them out on a piece of paper or a spreadsheet and follow the plan. If you work the plan, the plan will work for you.

      A. Have a garage sale and sell anything that you no longer need or want.

      B.Get a temporary part time job, if you have one, get another.

      Here is a plan that can help you. If you work the plan, the plan will work for you:
      1. Make a budget. Make the budget a week before you get paid. A budget is not a punishment! It is a tool which will free you from ever having to worry about money again. Put everything in your budget. Especially those annual, biannual, or quarterly bills like car registration, insurance, etc. Give every dollar you are going to bring home the name of where it is going. Add an “emergency fund” category to your budget for 25 dollars and save up until you have 1000-1250 dollars. Your emergency fund will help keep you from getting into new debt because of an emergency. If you can, set up a direct transfer to a savings account for your emergency fund. That way it moves automatically and you don’t even have to worry about it. You must cut your spending and live on less than you make.

      2.First get current on all of you debts and make no more late payments. Stop using your credit cards immediately. Do not take on any more debt. Credit cards are like quicksand only the death is much slower. Make a list of all of your debts in order of highest interest rate to lowest interest. Use cash only for your spending from now on.

      3.Pay the minimum due on all of your debts and then put your extra money towards paying off the highest interest one first. After you get that one paid off, you put the money you were paying on debt #1 (the minimum payment and the extra payment) towards debt #2. That will pay debt #2 off faster. When that is paid off, you put all three payments towards card #3 and that one will be paid off pretty quickly. As an example:

      To start :
      Debt #1 (highest interest): minimum payment+ extra payment
      Debt #2 (middle interest): minimum payment
      Debt #3(lowest interest): minimum payment

      Debt #1: paid off
      Debt #2: minimum payment from Debt #1+ Minimum payment from Debt #2 +extra payment
      Debt #3: minimum payment

      Debt #1: paid off
      Debt #2: paid off
      Debt #3:Minimum payment from card #1+ minimum payment from Debt #2+ minimum payment from Debt #3+ extra payment.

      That way, you will get them all paid off, on time, and pay the least interest. It will also help towards rebuilding your credit since you will no longer have any late payments. This works no matter how many different debts you may have.

      4. After you get all of your debts paid off, add to your emergency fund until you have 6-12 months of income saved up. Put that emergency fund money into a liquid money market fund or into a Bank of America no-risk CD so that if you need the money you can take it out without penalty.

      5a. When you have your emergency fund in place, add a category for “fun” to your budget. Save for a holiday, a vacation, a big screen, or dinners out, whatever goal you want. Remember to enjoy your life.

      5b. When you have your emergency fund in place, start saving for your retirement. Join the 401(k) plan at work and contribute the maximum. Your employer probably matches at least part of your contribution so why give up free money? Open a Roth IRA and contribute the maximum on a monthly basis. If you start saving for your retirement now, you will probably retire a millionaire.

      5c. When you have your emergency fund in place, start saving for your next car. Only buy cars, or other things that depreciate, with cash. Save up for a nicer car. That way you get the interest instead of paying the interest.

      You can do it and it isn’t as hard as you think. Just follow the plan.

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