Hey, we have all been in a tight fix at some point in our life so I can understand what you are going through.
Has your debt gone to a collection agency or is it still in house?
Regardless the collector’s job is to secrue the funds and will tell you anything they think will scare you into immediate payment. Depending on if this is a collection agency or an in house collector can make a difference.
First stop talking to them. They don’t care what you have to say or what your situation is. As far as they are concerned you owe them and they want it now and really don’t care if you rob a bank or go hungry or loose your house as long as they get their money NOW!
Second you need to determine your state laws on debt and get yourself a good read on the FCRA and the FDCPA. These will come in handy during your next few years of debt settlement and credit repair.
I started by reading ALL past posts from this blog… took me awhile but I learned alot! I still have a few questions. We are able to make all our payments with some extra but i would love to see us debt free. We have 14,000 in cc(between 2) one with 7.9% and the other 8.9% van loan of 15,000 4.4% and home equity line of credit of 11,050.00 with 0 interest until 11/06.93,000 left on home. We have just over 3,000 in savings.
What is the best way to start paying everything down? I pay extra on the home but was wondering if going after the van first will be better? We are hopping to move in 2 yrs. I know to get rid of the cc balences first but do I pay all our extra to one or split it since the interest are almost the same? We have stopped using them and are collecting recipts for the month to see where our $ goes. And do I keep adding to savings or go straight to the debt? Any help would be great!