Desperate For Credit Restoration Advice
Ok - my story is I've got 11 maxed out credit cards and 2 personal signature loans totalling about 28K
I tried one of those home based businesses and sunk a lot of "credit" money into it last year expecting a huge return - didn't happen - I ended up charging other things on the cards, etc...
Anyway, I've got a 4 year old daughter who is asking for things that I can't provide at this point - Pre-school is $432 per month,
Everything has become late - rent, car note, credit cards (when they get paid)and I've even started using those outrageously priced cash advance places just to stay alive - but it's only killing me -
I've consulted with a debt counseling company but they want 18% off the top just to negotiate settlements with my creditors. They want me to open up a savings account and deposit a certain amount each month. Once they settle with a creditor they will send me a letter and I write a check to pay off the debt. Is this a good idea? At least all the phone calls will stop.
Belive me I'm not whining. I got myself into this and I will get out. Using this method, I should be free and clear in 36 months.
Shannon - Please read over the articles in this forum and take some action on your own.
My advice would be to skip the CCC company. They will hurt your credit for almost as long as a bankruptcy.
Grab yourself by the boot straps and take the steps that the CCCC was going to. Call the Credit Card Companies and negotiate a settlement.
First - STOP USING CREDIT to live your life.
Second - draw up a budget that you know you can live with (ask someone that you trust to help you).
Third - draw a plan up to pay the debts that you owe and make sure that it is realistic as well.
Save yourself the 18% that the CCCC would charge and Do It Yourself.
Sure it takes time, motivation and dedication - but guess what, most of those are free.
Step back - look at what is happening and decide where you want to be in three years - you are in charge.
Hope this helps.
Stormy