Bankruptcy

[mcan]

Anybody here ever do it? What was your experience with it? I have a lot of very old credit card debt that I couldn't afford to keep paying on, and a lot of student loans that I have yet to really start on. Got my degree (in theater = dumb). I was teaching guitar lessons for cash through most of college and living off of student loans, then I was out of work for a while and now I'm living back home at the age of 29 (ouch). I did get a job on the production line of a fiberglass company for now, but the job isn't supposed to last past November. Got my summons a few weeks ago for a Discover Card debt. They want their money, and I don't blame them. But man, I really don't want to get my wages garnished and bank accounts frozen. This is a HUGE hole. Need out.


Any advice?

[Frazod]

Originally Posted by Scorp

Good God Man, he already stated he didn't want to die.

The mortality rate is slightly less than 100%.

[Demonpenz]

Have you ever thought about dating a fat chick? Ususally you can find a really sorry one that has a good job and steal her money long enough to leave her.

[joesomebody]

Man credit cards suck. Have you called the companies and tried to work with them? It seems to me you just decided fug it, and stopped even trying to pay the minimums...

I don't know a good solution, but the first step is calling them and working out a payment schedule!

I've never been late on my Credit cards, and haven't used one for over a year. I called when they tried to raise my interest rates from 9% to 18% just because of the economy, not because I had been late or delinquent.

I had been paying 50 dollars over the minimum, but the increase in interest rate caused the mins to jump over $100. I called, told them that I could not handle that big of an increase, and was there anyway we could talk it out.

They said no problem, we'll just agree that you won't ever use the card again until balance is zero. Also I can't apply for or get any more credit cards during this time. While we have this agreement, your interest rate will be a flat 4.97% and you will pay such and such payment every month until paid off.

Pretty sweet deal, and it keeps my credit clean. I only have two credit cards, one has a rate of 3.97% (American Express) and it is almost paid off. Didn't negotiate with them, it's just always had a low interest rate.

My other card (Visa) has a ways to go yet, but definitely going down every month.

[Brock]

Originally Posted by Demonpenz

Have you ever thought about dating a fat chick? Ususally you can find a really sorry one that has a good job and steal her money long enough to leave her.

[Mile High Mania]

Originally Posted by mcan

About 10K in credit cards and unsecured debt.
About 70K in student loans. Most of it government loans. Some private.

The 10k in CC really isn't much... but 70k in student loans, wow... that's a lot for a degree that you're not targeting a line of work in right now. Again, not trying to judge, but you should be able to work something out with the CC companies.

Your issue is the student loans. You mentioned that you "lived off" your student loans... you did more than just pay your tuition I suppose? I guess that's the part I don't get and that's the reason you're in a mess, other than not having a consistently good paying job.

See if there is something you can do to work out a plan with the CC company... and if all else fails, enlist.... or bust your ass to find an actual job with a paycheck every 2 weeks.

[Demonpenz]

You don't have to go in the military, there is always the air force




<-- not qualified to make that joke

[Scorp]

Originally Posted by Mile High Mania

http://www.daveramsey.com/the_truth_..._3018.html.cfm

Dave Ramsey is a pompous douchebag. Tricking Americans to slave away, trying to pay off impossible debt. fuck you Dave Ramsey!

[Demonpenz]

Is there anyway to pay off your debt using a different credit card?

[Mile High Mania]

Originally Posted by joesomebody

Man credit cards suck. Have you called the companies and tried to work with them? It seems to me you just decided fug it, and stopped even trying to pay the minimums...

I don't know a good solution, but the first step is calling them and working out a payment schedule!

I've never been late on my Credit cards, and haven't used one for over a year. I called when they tried to raise my interest rates from 9% to 18% just because of the economy, not because I had been late or delinquent.

I had been paying 50 dollars over the minimum, but the increase in interest rate caused the mins to jump over $100. I called, told them that I could not handle that big of an increase, and was their anyway we could talk it out.

They said no problem, we'll just agree that you won't ever use the card again until balance is zero. Also I can't apply for or get any more credit cards during this time. While we have this agreement, your interest rate will be a flat 4.97% and you will pay such and such payment every month until paid off.

Pretty sweet deal, and it keeps my credit clean. I only have two credit cards, one has a rate of 3.97% (American Express) and it is almost paid off. Didn't negotiate with them, it's just always had a low interest rate.

My other card (Visa) has a ways to go yet, but definitely going down every month.

This. The CC companies can be pricks, but if you proactively call and work with them... they can be very good to you. Then, it's up to you to never use them again.

I don't use CC's anymore and I canceled my AMEX... we let our debt get a bit crazy and we're working to get it down and ultimately paid off. Budgets can be a pain in the butt, however it's amazing what you learn you can do with out and not miss.

[Mile High Mania]

Originally Posted by Scorp

Dave Ramsey is a pompous douchebag. Tricking Americans to slave away, trying to pay off impossible debt. fuck you Dave Ramsey!

Well, I'm not saying I agree with everything he says... but the people that find themselves to be in crazy debt can only look in the mirror for blame. There are ways out... they are all going to suck and be painful, but one has more long lasting pain.

[joesomebody]

Originally Posted by frazod

Ever think about going in the service? Since you have a degree you might get accepted as an officer.

The good part of that is even if they garner your wages you'll still have food and a place to live. Even if they both largely suck.

While usually good advice, they won't accept him more than likely.

Credit problems (even pretty reasonable credit problems) are a major no no in the military. And since he's been ordered to court already, and is on the verge of Bankruptcy it will be dicey.

I would say zero chance a theater major is going to be commissioned with debt problems. I mean zero offense by this, but military deals with a different kind of theater anyway.

If you were a doctor, engineer, lawyer, something of high demand they might work with your debt problem.

They view debt as a liability, as you are prone to take bribes. This keeps you from getting a security clearance, which is important for enlisted folk, let alone officers.

I'm not saying don't try it, can't hurt and he is right. You'll have a house and food. O-1s make around 26k a year, plus probably 10k more in nontaxable/ungarnishable food and housing money.

[Mile High Mania]

Originally Posted by Demonpenz

Is there anyway to pay off your debt using a different credit card?

There's a cycle that would never end... he can't pay the minimums on the one he has, he has a summons to appear in court... his credit is likely SOL.

[Demonpenz]

its also important to not gain what we in the biz call "stress debt" somethings you replace the debt in money with stress I.E. working more gigs, picking up extra work passing out flyers at the mall. You need to take care of yourself first and not worry so much about the money once you get to that place, you will be debt free

[KC Dan]

Are your student loans in deferrment? Have you the ability to put together some cash to settle with Discover? Maybe parents? You could probably get them to take $0.30 or $0.40 on the dollar to settle. Someone said $10k isn't that much CC debt nowadays. You should be able to work something out like others have said. If you haven't yet, I would try to defer the student loans also.

[Jenson71]

Originally Posted by Demonpenz

Is there anyway to pay off your debt using a different credit card?

Demon, demon, demon

I don't have much advice, except -- don't take this man seriously.