I am having a difficult financial time....please help. want to get rid of credit card debt. it is ruining me.?

Question

I am in very bad credit card debt. i owe about 16 thousand and make only $462 a week take home. I also pay $450 a month for rent plus utilities. If i filed for bankruptcy, what are the procedures and how long would it take until i can restore my credit and get credit again (i live in New York city..brooklyn) I keep trying to make payments..since i owe so much i miss payments sometimes and get way off track and have a bad time getting back on track. for instance...i finally payed my chase card $234. the customer service woman said that next payment would only be 120 and now the automated service is telling me my minimum payment is 400....how can i handle that. My main concern is getting out of this without effecting me horribly in the long run? after filing for bankruptcy how long would it take to restore credit...does it apply differently to different people? are their any programs that can help that wont hurt my credit? PLEASE HELP!!!!!!!

Answer 1

Bankruptcy will really s***w up your credit... you are looking at about 7 years.  Cars, houses etc.  I suggest you cut up every single one of your credit cards and talk to your creditors and see if they will settle for a lesser amount than your balance due.  Make sure you pay at least the minimum balance each month on every credit card.  Your credit won't get as screwed up if you pay the minimums due as opposed to trying to pay one in full and not paying anything on another.  $1800  month is a decent enough amount of money... you need to learn how to manage it better.  Cut up the cards!!!

Answer 2

Hi,

I used "Credit Solution" to settle my debt and improve my credit score.They managed to reduce my debt up to 58%.It's legitimate. I came across this company on NBC News Special Edition.Check it out here:

http://www.x.se/a5nf

Answer 3

Bankruptcy will remain on your credit report for mare than 10 years and if the individual is listed as having filed for bankruptcy, it results in a 160-220 point deduction on their credit score and if a delinquent account is added to the individuals credit file, 70-120 points are subtracted. During the period of bankruptcy and after bankruptcy you would face difficulty in getting loan, purchasing and leasing and building your credit.

So if you are not able to manage your debts you can go for a debt consolidation program. The debt counselor in this program after analyzing your debts and income and after negotiating with your creditors will provide you with an affordable debt management plan wherein you have to pay only one fixed monthly payment.

Here is the source of a debt consolidation company named http://ezconsolidation.com for your reference.

Answer 4

Bankruptcy is a reasonable thing when you're really in insurmountable debts.  Your $16,000 may feel like a lot to you, but it isn't so much that you should waste your credit on it.  There are ways for you to resolve this without going to that extreme.  Try those first, and if all else fails, then maybe bankruptcy can be a last option.  

Bankruptcy will be on your credit for between 7 and 10 years, but actually, since it is done by the court, it is then public information forever.  In other words, 40 years from now, if you're filling out a job application and it asks you if you've ever declared bankruptcy, you'll have to answer yes, because they would still be able to check it.

Instead of doing that kind of permanent damage to your record over $16,000, I suggest you look into Consumer Credit Counseling, because they can set up plans for you to pay your debt down more quickly and usually get the companies to waive the interest payments and end the late fees.  Check them out, and I think they will help you find a way to solve your problem less drastically.

Answer 5

You're best bet is to contact each issuer and explain your plan of paying them each month. Cut up these cards. Develop a solid plan and stick to it.

Answer 6

Before you consider bankruptcy you should try to settle your debt this way you might be able to cut down up to 70% of your debt plus it will not ruin your credit like bankruptcy, check out www.servicecreditsolutions.com here they will be able to give you a free analysis on your debt.

http://creditservicesolutions.com/

Answer 7

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