Hello All, I was talking to a friend and found out she is having some credit problems..She is getting whacked with late payments and over limit fee's..Now i hve heard of some free debt consolidation programs that will help..Yaking away those fees and lower intrest and lower payments..Has anyone had to use this service and which comapnys would you perfer?
I assume you are talking about a credit counseling service of some sort. I don't have any personal experiences with any but have read some info. on this board that would make me look for another solution. This option seems to really take a hammer to your credit. There are people on this board that I remember have good advice on this subject. You might try a search.
From many people...DON'T DO IT...it ruins your credit worse than BK...NOT THAT BK IS GOOD... Many people with BK have been able to get unsecured credit cards after a couple of years, and a mortgage...BUT, people with CCCS have NOT been even able to even get a 100% SECURED CREDIT CARD... I PERSONALLY WOULD GET A SECOND JOB, DUMP CABLE, EAT PB & J, ASK PARENTS FOR A LOAN, SELL STUFF...
I agree with George.If the debts are unmanageable,BK might be the only option.Sometimes you have to just start over.
this is my wifes cousin with the problem..I guess she got laid off and they are wacking here with these charges..From what i gather she has 4 accounts and owes about $5,000 out..I told her about Bk and she said no way..I told here that the program i mentioned would screw her credit up for good..So i guess she is going to pay them off with her tax returns in March..Now a deliquent account scares the report so i figure she shouldnt pay and let them charge it off no ? That would stay on as long as the deliquenct accounts..Really i dont think she cares about her credit her dad bought a house and car for her..,But yet she said one of the cards are in his mame..I don't know till i see the statments but it sounds like a mess..
You mentioned she has 4 cards with approximate debt of 5K, this would be roughly 150 per month in min payments due. Does she have any income?? I realize that only paying min won't get your cousin out of debt but if they can atleast come up with the min payments for the month they will avoid the potential damage to their credit which can haunt you for 7 years. How late has she been and are these already charged off?? If her father is the either the joint account holder or the primary account holder and your cousin is just an AU on her fathers account this is quite a mess. Is he aware of this, who is responsible for the bill with this account, if he's not aware I suggest he/she tells him ASAP b/c this will damage his credit. I would not recommend BK with this small of a debt, and like other have posted most debt management places will ruin your credit just as bad if not worse.
I am going to be going over her bills with her this week..As far as $$ she doesn't have any coming in and enough savings to get by till she gets another job..
