I have been bankrupt while still married to my ex wife. I would not do this unless they are attacking your wages, bank account, property etc... I wish I had never filed it. It is much faster to just default on your cards, let them harass you, let the debts time out. You will get your credit back faster this way. Most non secured debts only threaten but actually do nothing. The longer the default the more cooperative they become and you can settle for much less than the debt with an understanding that they will accept a compromise on the account and report that you paid in full.
I have personally done this and the credit score returns much faster that way.
Don't waste your time feeling bad for the creditors, they get tax breaks for bad debts, they charge high interest to risks. In short they get paid back either way many times.
Another side note. Many creditors threaten wage garnishment. This can only be done after a judgement has been won by them. Unless you have been supoened, been to court, and lost, it's not gonna happen.
OK. You MUST start with a plan. The major part of which is a budget you can stick to without credit cards. That probably means reordering your lifestyle (You did say you wanted a real help, which means YOU have to get real about it)
Next, two options. Consododate you debt with a loan at a much lower interest rate if you can get it. But dont forget to add the repayments on that into your budget.
Or, if such a loan isnt an option, contact all the people you owe and tell them what has happened, including what you are now doing about it. I suggest you pay down the highest interest debts first if possible.
Now most people who chase money are actually human (more or less) and IF you tell them you are in trouble but be on the front foot and contact them, they will usually cut you some slack. After all bankruptcy gains them nothing. This way they may get their cash in time.
A couple of points. Be straight with them and yourselves. Do try to kid anyone this isnt a problem. And second, if you make them a promise, keep it. Or you go back into the potential deadbeat file, to be hassled.
More detailed advice isnt possible without info I dont have, but that should put you on the right path.
If you bankrupt under Chapter 7 you get a fresh start - no wage garnishing. PM if you want more info. Chapter 13 your are stuck paying back.
If you absolutely won't take that route, try offering pennies on the dollar. B of A 1st said "HA! you pay - you pay NOW!" when I offered 50%. Then I filed bankruptcy and they offered to settle for 15 cents on the dollar!!!
Whatever you do don't get suckered by some agency who probably won't help at all but will charge you anything they can steal.
I have a close friend that had the same results with Bof A. He owed ~$20K and defaulted (due to medical issues.... he stopped paying them). They hassled him for about 6 months and then sent it to collections. They finally agreed to $0.20 on the dollar and he gave them $4K from a tax return. His credit is ruined...but he washed the debt. By washing that debt he now has more to work with to avoid the PayDay to PayDay life......
I can refer you to someone that can help-- solid and reputable . I will bring a phone number back to this question as soon as possible.
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I'll wish you all the best..
Can you consolidate all cards into one loan like a second mortgage or personal loan this would be an option.. then destroy the cards....
NO please, NEVER do that because credit card debt is unsecured, and so you don't want to start putting your hard-earned things of value (especially your home God forbid) on the block for them... they are a racket basically and are trying to rip you off and scare you! Just try to negotiate a settlement... Even if you default on them completely, they usually can't do anything to you except maybe harass you a lot and then blacken your credit score. I'm not so proud of it dear, but I know this firsthand because I've gone down that road myself when I was unemployed and couldn't pay.
I was referring to loans or mortgages -- NOT a good solution. Just try to reach a negotiated settlement, if you want to preserve your good credit... there are certain attorneys and other negotiating specialists that can help you do this... But don't go to the regular credit counseling outfits because it's a little known fact that they really are secretly working for the credit companies, and they will not negotiate the best deal for you.
Hi, we are in the same exact position. So far this is what is helping. We started our own garden. What we can't grow we buy from farmers market with our money from recycling. Credit card ppl won't reduce interest or help in any way. I transferred as much as possible to an introductory card of no interest, pay the minimum on that and pay as much as possible on high interest card. Call your debtor every month and explain your situation.Make a plan and stick to it. you WILL get through it, slow but sure. DO NOT let the stress effect your self or relationship. Better times will come and you will feel good again. Keep in touch.
Discipline works every time. You don't know what no means.
You need to revert back to "Math 101"
Don't buy anything you don't really need...
No shoes, no clothes and cut back on everything.
Cut back at the grocery and price-shop everything....even food.
Oh yes I do know exactly what your going thru....I've been layed off over a year now. And, I don't need to get touchy-feely to know. I've also experienced illness in my family....So, do I have all my bases covered lady?
Why are you putting all your personal problems out there for everybody to read? Who does that???