Hi Everyone! I'm new to the forum and glad that it is here! I don't have massive debt but the debt that I do have is beginning to strangle me and I was wondering if anyone has any advice to offer. I have done some searching on the forums but maybe I don't know the lingo well enough to find what I'm looking for. I have about $4300 on a Cap One card. I'm paying 22.9% interest on it and there is NO way I will be able to get out from under it any time soon (especially since I just got laid off). I have heard from people in the past that many times they are able to make an offer to the credit card companies for less than the debt and have them take it. I have made all my payments on time with them for the life of the card (Which I've had since about march of 05) but can't keep paying it and their ridiculous interest rate. Is there a formula they use on what percentage they will settle for???
I have never dealt with Cap One, but many times an OC will listen and either reduce your interest rate, stop interest for one year for you to catch up and or take some money right off the top of what you owe to get you jump started in paying off the account. Unfortunately many times an OC will NOR work with you when you are still current and only will when you go into default. I would call and try to negotiate a better deal. If you don't get anywhere, don't pay as it is just prolonging things. When you do go into default they will be more inclined to come around=If not IMO then eventually it will be charged off and or you will be sued and you still will pay a lot less than when you were trying to make payments. I just don't see in this economic time to keep paying a debt that you KNOW you are not going to be able to keep up with. So again either call and negotiate a better deal for yourself and if this happens DO NOT MAKE PROMISED YOU CANNOT KEEP. If you get nowhere, then keep your money for now. Woofer
