Before You Go For Credit Card Debt Help
Generally you will find that there is more credit card debt help available than is actually needed. Just flip through the newspaper and you would be surprised by the number of advertisements related to credit card debt help. Every now and then, there are articles on credit card debt and credit card debt help. Television channels are full of ads related to credit card debt help.
There are websites and magazines that are dedicate to credit card debt help. You also hear about the topic of ‘credit card debt help’ being discussed in parliament. There seem to be policies/laws being formed for credit card debt help. All kinds of suggestions seem to be floating for credit card debt help. Everyone, even some of your friends, have a piece of advice related to credit card debt help. All banks seem to offer credit card debt help in term of various loan types (generally short term loans) at low rates.
So, credit card debt help is readily available and in fact even unwanted credit card debt help or advice will flow into your ears. However, not every one offering credit card debt help is proficient enough to be able to provide proper credit card debt help that will suit you. So you do need to understand some basics about credit cards and credit card debt, before you actually go looking for credit card debt help or before you start helping yourself out with your credit card debt.
So you should try and understand how the credit card suppliers bill you, how the interest is calculated on your credit card balance and how your credit card debt grows. Understanding all about APR, goes without saying. Even if you think that you had gone through all this stuff at the time of choosing your credit card, you should revisit these concepts to make sure that you still know them. If you decide against going for professional credit card debt help, you will need to understand these concepts in even more detail. All these concepts will become handy when you are comparing various balance transfer offers (for example). Moreover, the knowledge of these concepts will also be helpful in making the discussions with credit counsellor more fruitful.
So credit card debt help really starts with developing a better understanding of credit cards and other concepts related to credit cards (irrespective of whether you go for external credit card debt help or not).
Watch the video related to
credit card debt
Ways to consolidate credit card debt include using balance transfers and contacting a credit union or bank for loans. Condense credit card debt, but read any disclosures regarding balance transfers, with advice from acertified public accountant and credit counselor in this free video on debt management. Expert: Jerrie Guthrey Bio: Jerrie Guthrey has been a certified public accountant and credit counselor since 1992. Filmmaker: Jack Guthrey…
Help answer the question about credit card debt
Why do so many people keep going into credit card debt?
Question? What makes people keep using them when they see the destruction it is causing?
Many people, mostly younger folks and women, have so many credit cards they end up in severe debt and ruin their credit for many years to come. Credit card applications are mailed out by the tons and people keep activating them knowing the interest rate is or will be up to 20% or higher. Everyone needs at least one credit card and no more than two. You also need one revolving (department store) credit card to establish a good credit history. The limit on the credit card(s) should be no more than 10% of your annual salary and the revolving card half that. Always make a minimum of a double payment on all your credit cards and pay on the due date. Never ever be even one day late. The interest rate and late fees will destroy you. If you are experiencing problems the first thing you need to do is carefully cut the cards up and throw them away. If you can not afford to pay the total monthly bill attempt to get a consolidation loan to get out of debt. The monthly payment will be less than the total monthly payment of all your cards with a much lower rate. Some banks and credit unions will be willing to help you out if they know why you are taking out the loan. Financial debt can create so much strain it can even destroy your peace of mind and your marriage. Don’t fall into that trap.
About Author
Uchenna Ani-Okoye is an internet marketing advisor and co founder of Free Affiliate Programs
For more information and resource links on credit visit: Bad Credit Student Loan
Comments
pantherprowl22
THANKS ! your so right .He did give the warning and tried to stop this.
PLUS there’s one great thing he did also.
He kept the USA from another 9/11. He imprisoned the worst of the worst in Gitmo.
but now the first terrorist has been released from Gitmo and where did Obama move him?
NEW YORK !
How shameful!
Hey people .BUY GOLD ! It’s the only thing that hasn’t lost it’s value.
I'm going to make a guess here….
You are being offered a mortgage with a fairly decent interest rate….and in "several" years, they are going to increase your mortgage interest rate, right? But that's OK, because at that time the interest rates will drop big time, and you simply refinance the mortgage and save tons of money?
Is that what you were told? Did that tell you this was called a "balloon" mortgage?
I'm gonna give you a big warning….. be careful. What happens in "several" years when you try to get refinanced, and they don't give it to you? Did you know that thousands of people ran into trouble with these loans? They ended up filing for bankruptcy…..and now the large mortgage companies are getting wiped out from the people filing for foreclosures.
I know several people who fell for this trap. The original loan came with so many fees and closing costs that it pushed the loan to well over the value of the home. After several years of paying only interest, no lender would even discuss a refinance with them!
As for now, all you have to do is use some common sense. You are paying (probably) 15% on $30k in credit card debt. If you used that money as a down payment for the mortgage, you are saving 5%. You are losing bigtime on this deal!
Usually they will only negotiate your balance if you are already in collections or at least very seriously past due. It wouldn't hurt to ask and even if they turn you down, look at all the money you will save on the interest (Hopefully you got a better rate from the bank)! After paying them off, you should cut those cards up because it is REALLY easy to charge them right back up. Then you not only have the bank payment, but the credit card payments too! Good luck
Im sure its hard going through all that, i understand easily how you could spend all that money it got your mind off of the other stuff that was going on in your life; You might be able to get out of it; but you not only owe a bunch of money, you comitted fraud. best thing you could do is talk to a debt consuler; And bankruptcy might be the easy way out; being your so young it will effect your credit; but your young, better to take the plung now and get out in 7 years effected but to the point that you've learned your lesson.
Your parents wont be liable unless they co-signed, however they may still try to sue your parents for the money; it would be a tough fight, but they might win.
The sad thing is today, a lot of teenagers are under stress and to us, its a simple and easy way to get our minds off of what is going on in our real life by doing exactly what you did; Between school, relationships, and family issues, and possibly having to get/hold a job to make payments on stuff; its hard, and unfortunately you will pay for what you did; It sucks i know.
Plus with credit cards you don't realize how much you are spending until you get that statement; because you don't actually see the money leaving your hands.
Good Luck with your issue, don't do anything stupid like running away lol, and i hope your mom and brother are doing better. You need to be with your family and friends right now, dont do any drugs or screw your life up in that sense; You've made one bad mistake, dont make others because of it
Good Luck!
I agree with Spifiman and HA
(Peter, there is a debt collecting SOL for EACH AND EVERY state)
If your name is not on the loan or title, they cannot place a lien on it whether you are still within SOL or out of SOL.
If you are past the collecting SOL it would be in your best interest to head them off before they consider filing an "illegal" lawsuit by sending them a SOL letter
I read through your past Q&A's to see if I could find a state on you.
If you live in NC then the collecting SOL for both open and written is 3 years
Open Acct.: §1-52(1)
Written Contract Not Under Seal; §1-52(1)
§1-52. Three years.
Within three years an action –
(1) Upon a contract, obligation or liability arising out of a contract, express or implied, except those mentioned in the preceding sections or in G.S. 1- 53(1).
If it is a collection agency or a collection lawyer, you might find the following NC statute informing
Sections 58-70-90 et seq. of the General Statutes proscribe certain acts and conduct by collection agencies engaged in the collection of consumer debts. Acts and conduct prohibited include threats and coercion, harassment, unreasonable publication, deceptive representation, unconscionable means, unauthorized practice of law and court appearances, sharing of office space with a practicing attorney or any type of lending institution. Violators of any of these provisions may be liable for penalties in a sum not less than $100 nor greater than $2,000, per violation. (? 58-70-130.)
You might click on my profile and click on the last link I have listed to the "free" credit discussion board. Do some reading. You would also be able to find debt validation and SOL letter templates.
If you don't deal with this situation, you will ruin your credit. You need to contact your creditors and discuss with them how you can pay off your debt.
What they do not mention is the Credit Bureau’s That lower our CREDT RATING when they lower our CREDIT lines.
I was never late and paid more than the minimum payment
to Amex/Costco line was16,000. I paid $9000. Amex reduced line $7000. WE ARE A CATERING COMPANY
& NEED CREDIT FOR LARGE PARTIES. I PAID $5000.
MORE Amex lowered to $1000.! WAY to stand by small
business AMEX! How many more ways can Corporations
FAIL US. Discover did the same. IF economy gets better
I WILL BOYCOTT also.
your so right . now thats reform . cap on government spending would be good also.
peterbob101, your so wrong on that. It does effect you. Your taxes ,right now are paying someone elses debt.
Debt of any kind effects all Americans.
I am debt free and own my home and all that I possess but We All pay .Especailly for people that wont work but can!
I didn’t think keeping my Sears card would be a problem, since the cardholder can fight back against them jacking APRs by boycotting their stores. Not so. After years of being a loyal customer they jacked me to 30%. Needless to say, I will never shop at Sears or Kmart again & now it will cost THEM.
The boycott is the ace-in-the-hole for any dept. store cardholder who has been victimized by predatory practices. I only wish other non-dept store cards had such an Achilles heel.
The standard is 10 years but many creditors stop reporting after 5. But since so many companies are so different it's nearly impossible to give you an absolute answer so if you're not paying your bills then assume that they'll remain on your record for 10 years.
If you're served you a) go to court or b) settle with the company. The settlement will be much lower than the actual debt. And not having a job is gonna do you absolutely no good in your argument. The best way to avoid paying the debt (at least in a lump sum) is to pay in very small amounts. As long as you pay something then legally you aren't refusing to pay your debt. But if I were you, I'd get a job and settle with the company. You might be able to talk them into a monthly minimal payment.
so the good people who pay on time must pay for all the bad ones nice…..
Unless your credit card debit is at a lower percentage than your savings account, you should put your money to paying down the credit cards.
For example:
Say the credit cards are at 12% and the savings account is paying 3%, you're 'making' an extra 9% by paying down the credit cards in this example.
However, if you have a credit card with a 'teaser' rate of 0%, and a savings account that's paying 2% I would say put the money into the savings account.
I hope that helps.
it a shame I pay taxes to the feds and my money went to bailout the credit card company .now i’m paying again .
With superlative credit the interest rate went up .
Now WHO is gonna make sure this new law is abided by the credit card people?
So far my company has not honored this new law, especially since I protested to the new rate hike.
Do I have to pay for everybody elses debt?
The card companys are dishonest and making a killing off of this.
What they do not mention is the Credit Bureau’s That lower our CREDT RATING when they lower our CREDIT lines.
I was never late and paid more than the minimum payment
to Amex/Costco line was16,000. I paid $9000. Amex reduced line $7000. WE ARE A CATERING COMPANY
& NEED CREDIT FOR LARGE PARTIES. I PAID $5000.
MORE Amex lowered to $1000.! WAY to stand by small
business AMEX! How many more ways can Corporations
FAIL US. Discover did the same. IF economy gets better
I WILL BOYCOTT also.
You do not need to pay credit card debt off before saving for a house. In fact, you may not want to pay it off completely anyway. It doesn’t hurt your credit score (which will become important when applying for a mortgage) to have a couple of open lines of credit showing active use and on time payments.
The thing is, you don’t want to have more than 25%-30% of the approved credit in use.
On the other hand, if your credit card debt is at a high interest rate, it just might make sense to reduce it substantially before starting your savings.
The interest banks are paying on deposits is ridiculously low and, while savings are important, in fact critical for purchasing a home, it just does not make sense to pay high interest on credit card debt when you have the money in the bank that could pay it off. You’ll be losing money on a daily basis that way and it just doesn’t make good sense to do that.
If you feel you must start saving, I suggest that you try to save $1 for every $4 beyond the minimum you pay on your credit cards.
Hope this helps.
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