Get a home equity loan if you can. Before I met my wife, my debt was my car and a little bit on my credit card (has a 9.9% APR). I knew before I married her that she had a sh!tload of debt. But it still didn't prepare me when we first got married. The enormity of her debt plus some additional debt that I had incurred for home improvements and buying her ring was just strangling us. She got some money last fall and after much weeping and gnashing of teeth, I was able to get her to pay off 4 department store credit cards (you know the ones that have really HIGH interest rates). Luckily, those cards didn't have huge balances (the biggest I think was 2K). But we still had a discover card that was over $10K, an MBNA card that was around $5K, 2 unsecured lines of credit with our bank that totaled over $10.5K, and a freaking 401(k) loan that was around $2.5K. This debt along with her student loan and my credit card which had grown to a balance of $9K was making me very very unhappy. Thank goodness that God smiled on me and gave me the house I have. I bought that house for around $90K (a steal) and it appraised a year later for $126K. Factoring in a down payment, I was able to get approved for a home equity loan of $41,350. We paid off everything except our house, car loan, my credit card, and her student loan (unfortunately). This was over $26K that was paid off! And you can't believe how much better life is now! Our cash flow situation from month to month improved dramatically by doing this. If a home equity loan is not an option for you, all I can tell you is to try to pay more than the minimum on every card you have and start (unlike what Lil Pun suggested) with the one with the smallest balance. Once you pay that one off, add that payment to the one with the next highest balance. Example - if you owe $300 on something and you are paying 15 bucks a month, try paying like $40 a month instead. Then once you pay that one off, add $40 to the payment of your next lowest loan or card, balance wise. Good luck - sorry that you have to go through this; it isn't fun.
Actually I thik thats how it's done here in NYC also. Except they own delis in Manhattan which charge you 10 bux for a sandwich.
If you're black, you could always sign a $80 million contract with an NBA team...they give those things out like food stamps these days...
It doesn't look like you are the type of persons who are on meager incomes. So if you start to live you life as if you were on minimum wage, I bet (no pun intended) you will be able to pay off your debt in no time. It does take tremendous will power and a strong stomach to drastically change your life styles though.
Oh no.... Well, debt is part of life...Some have more than others...I live in Dallas so my thought is everyone is maxed out up here...I had, still have huge CC debt (not as much as you) but other than calling the companies and negotiating, getting a Home Equity Loan, or just continuing to suffer, the only other option is to not pay...that being said, there are always consequences.... Cut up the CC's and only pay for things you can afford...No charging lunches, dinners, DVD's, etc...set yourself a budget (really) and only allow yourself certain splurges a month...Live well beneath your means...Life is too short to stress about this...
Are you getting any of those 3.9% for the live of the debt cards? If you get some of those it should really help you out. If you are paying the 20-30% cc usually charge you, you have no hope of paying them off easily. 20% of 50K is 10k per year. if you could conolidate your debt into one low interest say around 7-8% loan it would really help you. Make sure you don't just look at monthly payments amount but what % they are charging you.
why is he mad at the credit card company for his inability to manage money and pay off what he should?
I think credit card companies do deserve some of the blame for not educating consumers about spending habits.
that will hurt his credit report score somewhat, but not near as bad as going to trial, or filing bankruptcy, and once that is paid off it will be easier for him to work on overcoming that bad record.
I thought the best thing that happened recently was the govt(i think) raising the minimum payment percentage for credit cards. It helps people to break the habit of paying only the interest.
This is one of the problems with society today. No personal responsibilityl It doesn't take an MBA to know if you charge money you will have to pay it back.
Be careful, dude... they still get you. 0% interest!!!!! * | | \/ * (0% interest applies for first 365 days, !8% adjustable interest rate applies thereafter. Cancellation fee of $250 applies. Annual fee of $75 applies.)
educate yourself. its getting silly how people blame someone else for them not being able to take care of themselves. Dont spend more than you have...that should be a pretty simple concept. Ignorance is not a valid excuse.
No, they don't get me, I either get another 0 % card and transfer again or I pay it off before it kicks in. Been doing that for years.
Agreed. Debt can be great. If you're borrowing at at good rate and putting the money into a high yielding investment (business, stock market if you know what you're doing, house in some cases) Borrowing money and putting it into something that depreciates the second you own it (which is basically everythign else) makes no sense....unless it is a necessity (food, healthcare, etc.)
This is dangerous advice. He would basically be taking that debt from credit cards that can't really do anything to you and giving it to a bank that can take your house if you don't pay off the loan. Putting your house up against $50K?
