From How to Get Out of Debt We are currently in over our heads with debt. We have approximately 6000 in medical bills and about 12500 in CC debt. We signed up for a DMP plan and have been making payments each month until this month. My wife lost her job and went back to school. We have 5 in our household and my bring home salary each month is 2600. We have some DCA contacting us and after paying the living expenses and necessities, there is just not any money left to pay on our debts. I read lots of articles about how to get out of debt but they seem to all require that minimum payments be made and focus on one debt and so on. What do you do when you cannot make minimum payments on your debts and how do you still pay it off? We want to pay off our debts but at the moment we only have one income which does not cover all so what do we do? I have had some tell me to get another job ,but in my current position I am unable to work a second job for security reasons. My wife could go to work but with the cost of day care she would only be working to pay that each month. We have one vehicle we are paying on and one that is paid for and we do not have any credit cards available sicne we got rid of them the day we signed up for the DMP. We do not want to file bankruptcy since I was discharged from Chapter 7 in 2004 but if that is the only way out, then we would consider that. Please, any help you can give would be greatly appreciated. We are so eager to hear that we are not a lost cause. Charles Dear Charles, First off let me clearly state you are not a lost cause. Debt happens. The issue at this point is threefold. Identify what led to this problem and put solutions in place to not repeat that again. Deal with the current unmanageable debt. Regroup and do better moving forward. Let’s start with the basics. I’d suggest you first read How to Get Out of Debt. The Honest and Unvarnished Truth . It will give you a great overview of what we need to deal with to get you moving in the right direction. Then use the free How to Get Out of Debt Calculator to review your options. After that, come back here and comment about what seems to make the most sense and let’s discuss that. Does that sound like a reasonable approach? Please post your responses and follow-up messages to me on this in the comments section below. Big Hug! @GetOutOfDebtGuy If you have a credit or debt question you’d like to ask just use the online form . I’m happy to help you totally for free. Other Related Articles to Read I’ve Made Some Really Dumb Money Mistakes in the Past. – Mindi My Parents Have to Help Me Pay My Debt. – Karen Getting Out of Debt. Our No Win Situation. – Carmen I’ve Consulted With Credit Counseling Agencies And They Can’t Help. – Raymond I Got a Call From United Referral Group to Negotiate My Debt. What Do You Think? – Nettle I Make Too Much to Consider Bankruptcy. – Jim I Can’t Afford a Speeding Ticket or Medical Expenses. – Jorge I’m a Real Estate Agent That Lost All Income. – Kris I Can’t Make the Payments I Owe. – Rich I Feel Like I Just Threw a Bunch of Money Away. – Donnie Read the full article at GetOutOfDebt.org , click here: What to do when there is not enough money to make payments on debt.
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From How to Get Out of Debt Debt Guru, I have close to $25,000 of unsecured debt that is causing me a great deal of worry. When my husband was working fulltime and making a good living the payments weren’t a problem. As he is now disabled and suffering from leukemia, I am not sure what to do. My income is half of what it was and my bills are not! I have talked with firms that say to quit paying my bills and work with their program….that is very scary to me as I have a good credit rating 720 and pay my bills on time. I am afraid of how I will be able to continue these payments. What should I do? Julie Other Related Articles to Read The Worry and Stress Over My Debt is Emotionally Draining. – KL 44 Lessons in Life for Debtors I Left an Abusive Boyfriend 9 Months Ago and I’m Trying to Start Over. – Jen My Husband Doesn’t Seem Worried That He Lost His Job. I’m Freaking Out. – Tina Bankruptcy right for me??? Debt Relief Service Did Not Mention Bankruptcy to Me But Debt Settlement Lawyer Did. – Patti My Debt is Freaking Me Out. – Jen Chapter 2 – What Your Money is Trying to Tell You Conclusion – Listen to Your Heart My Debt Has Me Stressed to the Max. I Need to Get Out of Debt Now! – Angie Read the full article at GetOutOfDebt.org , click here: Making payments but barely breathing financially. – Julie
Read more here: Making payments but barely breathing financially. – Julie
From How to Get Out of Debt My wife and I currently owe about $27k in revolving debt, and she has recently lost her job and I am getting hours cut at my employment. We realized that we were living paycheck to paycheck and that we needed to do something quick. I was approached by World Law Group and signed up with them just recently. I read what you had to say about the agreement, and I am afraid we may have made a big mistake, as some of the salespersons claims do not jibe with what the agreement states. He said that World Law Group was a network of attorneys, and that we would be assigned an attorney in state that we could have regular contact with during the process. They are collecting fees up front, and no significant money is going in to the escrow account till about a year’s time. Most all of our revolving credit accounts is within the 2-3k range, with the exception of Barclay bank which we have two $4k accounts with. Their claim of 40% settlement makes me nervous, basing it on a three year plan with a deposit of $524 a month into an account. We will likely make additional moneys available as we can. We have yet to make our first payment, which is on the 25th, and we are current with our creditors at present, but doubt it will be possible much longer. We filed chapter 7 in 2002, and long story short, we have gotten ourselves in trouble again. Is it pie in the sky to think they will realistically have a shot to settle our debt for 40% of what we currently owe, based on the small amounts of individual accounts, I was also wondering if it would be unlikely that they would sue us. I am afraid of all the fees and interest piling up and don’t know if this is worth trying to pursue or not. Thank you! John This is your chance to be a hero and help out this person by providing your feedback and answer to the question in the comments section below. Source:
Read more here: I Signed Up With World Law Group But The Estimates Make Me Nervous. – John
