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Helping Myself Repair my Credit! Oh No!


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My credit stinks due to an auto/pedestrian accident that I was in (struck by a car while returning to my hotel room in 2005).

I am now disabled - going through a divorce all while my income has been reduced significantly. I reside in Texas.

My credit was always in the mid to upper 700's now it's about 550 (according to Experian).

I recently entered a Debt Settlement Program for my unsecured debt - is that a smart thing to have done?

I have considered paying a service to help me repair my credit but between the cost and the fact that I have the time(bummer) to work on it and want to learn about it and have found this forum as a resource I am challenged to try it myself. But I NEED HELP!

I have an Experian credit report - and have done some reading but am hoping some of you can give me some help as to where to go/what to do next - where to start and the process. I've also entered a debt settlement program as I've mentioned earlier.

Thanks in advance for any and all help - I appreciate it!

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I recently entered a Debt Settlement Program for my unsecured debt - is that a smart thing to have done?

Smart? Absolutely NOT. Debt fixers don't do anything you can't do yourself. Most do not tell the whole truth about what they do and what their efforts can do to your credit. Get out now.

You'll find all the tools you need on the board here to deal with your credit proglems. Read, read, and read so more....

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Hi there and welcome!

You have struck GOLD by locating this site. I do not advocate getting outside help for debts/credit, however I want to sumbit the following thoughts.....

Truly, there are a lot of things you will be able to handle all on your own w/out paying anyone. If you have the time, willingness to learn and a reasonable ability to deal with others...you're good to go, not everyone possesses those things though. Search engine here is PRICELESS by the way, lol!!!!

However, (JMO based on my experiences mind you) you can't "always" negotiate w/ creditors. You can't always work something out with them, some truly just staunchley refuse to and it isn't YOU per se, it's the way they do business. Some of them simply won't budge, sorry-but that's reality. Than again, if you have lower debt amounts it isn't cost effective to get anyone else to try to work with 'em either.

Paying someone to do it for you is paying them for their time and their work and hopefully (I say that loosely) whatever training and background they have with negotiating debt. And there should be expectations and there should be certifications just like accountants. To me, it isn't unreasonable because this garbage takes an ENORMOUS amount of time and for me, it's a freakin' part time JOB and I'm only working my own case!!

What they have that we don't though, is the relationships they have w/ these companies. It HELPS enormously I'm sure...whereas OUR relationship with them is CRAP to some of these companies!!

Keep in mind, some people choose to hire accountants when common sense tells us all that if we can ADD, we can do our own darn accounting...but I would never attack someone who chose to hire an accountant, sorry. And yes, I can watch my own kids to, but sometimes I need a babysitter. So...than again, accountants do go through schooling and what not...so, hopefully with time that's what some of those other folks WILL do and until then, I wouldn't be inclined to hire one because there's no guidelines, there's no regulatory body to monitor it, so nah....so, hope that's clear (before anyone beats up on me, lol)

Overall, I do not recommend to people that they hire ANYONE to help them handle their financial affairs. Part of doing it youself is learning so that you can avoid what got ya there in the FIRST place. But I know for some folks, stepping up to the plate and having to hear "no" is simply too daunting and I would rather those people hire SOMEONE or get help SOMEWHERE, over just letting it mount and get them in dire straits.

Sorry to play devil's advocate for a moment, and I hope I'll still have friends here afterward, but those are my thoughts.

OTOH-debt consolidation firms that take "down payments" from you, than hang on to it until your debt is SOOO overdue that these folks are ready to SUE, IS NEVER AN OPTION. These companies are not interested in settling anything and most of the time, they take your money and DO nothing. If someone wants to sit down w/ you, go over your bills for some reasonable hourly fee that's different....if you research your area, there should be local credit counseling firms, those are different and I think those are free of charge...than again, where do their operating costs come from? I've never looked into one, so I don't know.

Anyway, I hope you'll do it yourself though so that you can learn and succeed.

Welcome again!


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Just feel the need to point out that if you can find a DEBT COUNSELOR in your area that will teach you how to deal with your creditors, and charge you an hourly fee to do so...go for it. However...

...hopefully (I say that loosely) whatever training and background they have with negotiating debt...What they have that we don't though, is the relationships they have w/ these companies.

...anyone who claims to be able to NEGOTIATE on your behalf with your creditors is only successful because they already have ongoing relationships with your creditors. In other words, debt negotiators are almost universally already under contract with the creditors. Their "special relationship" is they get paid by the creditors to "help" you pay them. (Okay, so maybe you get to pay the debt fixer directly...the end result is the same)

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