inwayoverourheads Posted October 2, 2004 Report Share Posted October 2, 2004 Hi! I've been trying to figure out what to do for the past month. Unfortunately, we are in WAY over our heads. For a period of time we borrowed from other credit cards to pay other credit cards and make ends meet - we've reached our limit and have no way to pay. It certainly wasn't planned that way and ashamed doesn't even come close to telling you how we feel about it (we being hubby & I). I'm in school full-time and my hubby has a decent full-time job. I can't work on top of school and the whole purpose for school is to better ourselves so we can make ends meet. Is disputing an option for us? BK is not an option, I'm on all of my parents belongings (meaning, my name is on their house, bank accounts, etc.). I'm constantly getting phone calls and haven't answered the phone because I honestly don't know what to tell them. Can anyone give any advice on how we should handle this and what we should do? Thanks! Link to comment Share on other sites More sharing options...
wert Posted October 4, 2004 Report Share Posted October 4, 2004 First of all, write them C and D letters so they won't call you anymore-samples can be found here.Second, write down all your credit card debt and take a long look at it. You can't dispute until they start writing stuff off and I don't think they started that yet by what you said.How large are your CC debts, are they in both names, and how late are you?? Link to comment Share on other sites More sharing options...
inwayoverourheads Posted October 4, 2004 Author Report Share Posted October 4, 2004 Hi, thanks for your reply. I realized after posting that I posted this in the wrong area - the actual posting (and some replies, plus more info) is listed under "debt settlement." If you get time, I would appreciate your review and info you could provide after viewing the additional info. Thanks again! Link to comment Share on other sites More sharing options...
Recovering Attorney Posted October 4, 2004 Report Share Posted October 4, 2004 I would get off your parents' stuff if you can. And your husband should consider a Chapter 13 BK for your joint debts. You could try disputing the amounts via the FCBA and FCRA and see if you can get in your lender's hardship program. But that will help you for a time. You are wisely looking to your future. Sometimes you have to jettison the past. Link to comment Share on other sites More sharing options...
retmar Posted October 4, 2004 Report Share Posted October 4, 2004 Do not, for any reason, approach a Credit Counseling Company. They will hurt more than they will help.As to considering settlement with the creditors, don't get your hopes up. The majority won't bother with it, especially if they have not charged off the accounts. They would rather add all of the charges, then charge off, and allow their internal collections to attempt, or assisgn or sell to someone else. This is what you want to avoid.You could contact each of them and see what can be done. Sometimes they may reage the account so you stay current and will not add a pile of charges. There is word that some have a "Hardship" program to assist their customers.A payment plan I found to work quite well is to sit down and note each account as to it's balance, monthly minimum payment, and interest rate. Then decide if you want to start with the highest amount or highest interest rate. Once this is done, make sure you pay the minimum on each CC, but, add an additional $25.00 to the top two of your list. After three months when you do not feel the extra money, add another $25.00. Continue this until paid in full. Then move to the next two and add the amount spent for the first ones to the minimum of the next two. You will be surprised as to how fast the totals drop. The important thing to remember is when a card is paid off, do not use it for anything but a tank of gas or one reasonable dinner. In short, use only for an amount that can be paid in full next rotation. If $25.00 is too much, make it $20.00. You may think it is alot of money, but, stop and think how much you may be spending each week on that Latte or Expresso. How about the Donut and Coffee each morning on the way to work? Cut back on the normal everyday expenditures and you will soon realize this extra amount is not hurting you as you think. Another way is to toss all change in a Jar when you get home from work each day, then cash it in when you pay the CC bill.Even though they may have started calling you, do not let it get to you. This is why you need to sit down and call each of them first. Make sure you note the employee's name and employee number, along with date, time, and main points of each conversation. Then, once arrangements have been made, send a letter CCMR to the company. It will include all information from the call. This is only for the purpose of protecting yourself if necessary. Link to comment Share on other sites More sharing options...
inwayoverourheads Posted October 5, 2004 Author Report Share Posted October 5, 2004 It's funny you mention not recommending credit counseling places, I was recommended by two credit card companies to go that route. There's another string with more details under debt settlement with the same subject line (in way over our heads with no options). I called each one of the credit card companies tonight - that was a long, drawn out process. Fun too, by the way. I don't buy coffee or donuts out. I cut as many corners as I can as it is - coming up with $20 sounds pathetic but I can't do it. I remember feeling like this years and years ago and thought it was only supposed to get better but now we're going backwards and it really sucks.I did write the employee's name down, their operator number, time, date, and what we conversed about.We'll see if the calls are any better tomorrow - probably not though considering I couldn't really make any set payment arrangements with them. I'm going to be cutting other things out tomorrow... like raising our deductions on our vehicles, lowering our cell phone bills, canceling our second phone line, etc. It's got to get better, right? I sure hope so... Link to comment Share on other sites More sharing options...
breathing_easier Posted October 5, 2004 Report Share Posted October 5, 2004 This has been suggested in other threads, but have you tried selling on eBay? If you have little ones, they quickly outgrow clothes and toys. Those can be turned into cash on either eBay or consignment shops. Any collections (old records, eight-tracks, etc.). Believe, if you can think of it, it's being sold on eBay! Any chance you can go to school part-time and work a part-time job, just until things are better? Even babysitting would bring in some much-needed extra $$$. I did the college/work thing and it can be tough, but it's do-able. Perhaps there are online courses that would transfer to your college so that you could work on them at night when the kiddos are in bed? I know you have little ones, which I didn't, and I know that makes it tougher, but perhaps you could work something out. Has your husband considered a second part-time job, just until things are better? Link to comment Share on other sites More sharing options...
inwayoverourheads Posted October 5, 2004 Author Report Share Posted October 5, 2004 Yes, actually, we've sold MANY things on eBay - we just ran out of things to sell that brought in real money. My hubby is considering a second job. I can't make any changes this semester but was considering going part-time next semester and working part-time but hubby said he'd rather get a second job and have me finish school sooner. I'll go in summers too just so I can get this moving along. I have all these tests this week and all I can think about is my debt - not a good thing. Link to comment Share on other sites More sharing options...
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