Hey new here and just wanting some opinions. Im a 21 male, and I feel im going to deep in debt. I currently have a 645 credit score, I make 1700 a month before taxes and I pay out pretty much about every penny I make to credit card bills. Ive never been late on a payment but I just have to many bills, it seems like they never are going to get paid off either say I pay 60$ on 1 credit card, 40 of it goes to interest. I really cant afford to pay anymore then the minimums. I have been tossing around the idea of letting my car go, Its a 2007 I still owe 22K on it and I have a 450$ a month payment.. Suggested retail on it is 18k but honestly doubt ill get anywhere near that trying to sell with the economy right now. Trade in value is only 12k X_X! If I do let the car go, and just pay off everything else on my credit will it hurt me drasticly? where I wont be able to get anything else for 7 years? Like I said I can afford all of my bills right now but it just leaves me broke after I pay them, and they are just taking way to long to pay off at this rate with these high interest rates. Any opinions? what should I do with myself
Make an appointment with a bankruptcy lawyer. The initial consultation is usually free. If you qualify for a Chapter 7 all your debts will be wiped out. If you want to keep your car reaffirm the car loan.
Well you could let the car go back.which will hurt you for 7 years.My suggestion is to take your lowest card and pay extra on it until paid off.then go on to the next and so forth can you move back home or are you alredy there.At your age you will just have to suffer through but in about 24 months things will start to come together and rather quickly.Maybe a part time job?Any way welcome to credit net and goodluck.
You could also look for a second job, even at McDonald's or 7-11. Put everything you make there toward your credit cards. Also look at ways to cut expenses. Cancel your cable or satellite TV. Cancel your newspaper or magazine subscriptions--go to the library and read. Take lunch and cook at home instead of eating out. You get the idea. You're young to ruin your life with bankruptcy. It will follow you forever for certain jobs and loans.
Not necessarily so. The "public record" entry will stay on your CR for ten years, and not forever. Those certain jobs are mostly limited to accounting/financial type jobs. You're NOT ruining your life with bankruptcy. You're bailing yourself out of debt. There are many people who previously filed and within a few years were able to get mortgages, within a few months received credit cards again.
Hedwig and Greg Your both right.Now he/she is at the age where they need to know and understand that the urge to say charge it has a point where they'll say no way and to file bk because your young and reckless with credit>hell i was old and reckless because my dh illness got worse then no income.However to need to retain that option to maintain your mental health,is a bk7 to take pressure off you.My point is they'll learn to manage their money after this.
No, the public record doesn't disappear in 10 years. It is no longer reported on most reports, but on a full factual, it stays forever. The times when full factuals can be pulled include applying for a mortgage in excess of $150K or an employment with a certain salary, I think it's $75K. It doesn't just have to be a finance or accounting job. It can be ANY higher-level position. I think most people that are in their 20s certainly hope that they'll have a job paying that someday.
