hey guys, new to this... but same old story i have read on here. debt is out of control. current income will not dig me out.
i work commission based and have seen my better days. wife is stay at home mom with newborn but may go back to teaching in september.
i owe $465k on my house. it is worth anywhere from $465k to $500k. mortgage (6%) and taxes = $3500 per month
credit card debt is problem. owe about $96k total (28k amex, 27k citicard, 25k AAA, 16k credit union card). all maxed out.
i also owe about a bunch of money to family.
i have been current to this point but my income has taken a hit.
my plan is to see what my mortgage company (hudson city) will do for me. i have been current so i am thinking forbearance for a bit? also, i am incapable of paying my credit cards... so, those won't be paid.
i am hoping to wait a few months and see if the credit cards will offer a lump sum payment for a lesser % of what i owe. any thoughts?
if my mortgage company gives a forbearance, and i don't pay my credit cards... my bills will be low for a few months and i can use my income to clean up the debt to my family. then, in 5 months, when i have two incomes (wife back to work), i can make my mortgage payments and hopefully modified credit card amount .
at this point, i am in my house that i "hopefully" will be in for awhile. so my credit score is not that important to me at this point.
any thoughts, input, strategies would be GREATLY appreciated! please help!