I need help. My wife and I have maxed out our credit cards and we just make our payments each month with nothing to spare. We are budgeted so tight that I really fear any significant emergency. We have a very small savings account that i am very thankful for but these credit card payments are killing us. I was out of work for a while last year and we fell behind on everything. We were able to sell our house in order to dig ourselves out but that time period ruined our credit and interest is eating us alive. Does anyone have any negotiating advice for talking to creditors about working out a plan that would lower our rates and allow us to pay down some principle. I am aware of the many sevices available but I want to try to accomplish this without hurting my credit even more. Thanks for any suggestions.
Um...did you really mean it when you said you sold your house to dig yourself out? I realized this is not the question you asked, but have you considered filing bankruptcy?
Bryan74 .....I would call my creditors and tell them of your situation. Most will negotiate with you so you can come to an agreement. If they seem not to cooperative.... then you can let them know that you are at your last sting before filling Bankruptcy. This always ships them into shape and more than willing to help. P.S. You get more flies with honey. So.. I would suggest not to Demand but come across VERY desperate... ;-) Hope this helps.. keep us posted MartysGirl
Bryan, Sorry to hear you and your wife have been having such a hard time. I know you said you didn't want to consider services but the truth is, most creditors won't negotiate with you like that. I know you are concerned about your credit but if it's anything like you say, using CCCS won't tank you. At least they'll stop charging over-the-limit fees, and most will stop charging interest all together OR reduce it. After you pay off each card, as them to remove any notation regarding being in CCCS from your credit report. Or like the other poster said, file for bankruptcy. It's difficult to be in such turmoil and it CAN and WILL make you ill. Whatever you do, please take care of yourselves.
