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need help want to conslidate my debits and not get ripped off good way anyone

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Anonymous

Asked by Anonymous at 2:25 PM on Jul. 7, 2009 in Money & Work

Answers (6)
  • My coworker did this...and completely got ripped off, they close credit cards they werent supposed to and her credit score went DOWN!!!! it was awful, she didnt really need the service, but it caused her more grief than it was ever worth...if i were you, id try for a consolidation loan through a bank, if you cant do that maybe call your credit companies and see what you can do as far as payments are concerned, maybe focus on one major debt at a time...i dont know..im working on the same thing..GOOD LUCK!
    sweetstkissez22

    Answer by sweetstkissez22 at 2:57 PM on Jul. 7, 2009

  • I recommend that you read a book called The Total Money Makeover by Dave Ramsey. Also there is a group on here called Dave Ramsey Fans, it's group of moms who follow his financial plan and everyone helps each other out. You can ask your questions on there and get sincere, thoughtful answers.
    As far as debt consolidation goes, those companies are mostly a rip off. You can do anything that they can do. You just need to know what to say and how not to get flustered by your creditors. The book is very helpful. Check it out at your library (for free).
    slw123

    Answer by slw123 at 3:34 PM on Jul. 7, 2009

  • start with your state or the FTC: http://www.ftc.gov/bcp/menus/consumer/credit.shtm (you will need to copy and paste the link), to make sure that youget the help that you need.
    rkoloms

    Answer by rkoloms at 3:35 PM on Jul. 7, 2009

  • Many financial advisors have the same debt eliminating plan, and it does really work. David Bach and his books and John Cummuta's Transforming Debt into Wealth program are wonderful as well as the above mentioned name.

    A quick low down of these, is you write down all your debts, including your house, then all your living expenses, and then the money you make. Number your debts 1 - whatever number you have, from the smallest to the largest. Next look at what you make currently, the total of the minimum payments you must make on these debts and your living expenses. This requires sacrifice on your part, such as no manicures. You need to come up with a total amount you can pay EXTRA on ONE debt. After you total your espenses and debt payments and compare to your income see what extra you have, let's say you have $200 a month....
    Mom2Jack04

    Answer by Mom2Jack04 at 3:47 PM on Jul. 7, 2009

  • Then take that smallest debt you labeled number one and pay the minimum PLUS the extra $200 you have, EACH month until paid off and closed. In the meantime pay just the minimum on the others. Now that $200 has grown. Because on debt one you paid $200 in addition to the minimum (let's say for example that is $40....so you now start on the debt you labeled #2, you pay the minimum on that debt (as well as the rest) BUT you also now pay the additional $240, until it's paid off and closed.

    Now you again have even more....if debt number 2 had a minimum of $40, meaning once number 1 was gone you were paying $40 + $240 = $280, you now have an extra $280 to start paying in addition to the minimum you've been paying all along on debt #3! You keep doing this down the list until the debt is gone.

    It seems difficult, but when we applied it our CC debt was gone in less than a year, we now pay the extra on....
    Mom2Jack04

    Answer by Mom2Jack04 at 3:50 PM on Jul. 7, 2009

  • our houses principal to pay it off in the matter of 4 years rather than the 30 year mortgage we have. We'll OWN our house 100% scott free in 4 years and save thousands in interest. Then we can put that money towards our retirement and invest it.

    You may not be able to have the cable package with all channels, manicures or dinners out, but when you can say you own 2 cars completely, NO debt, pay cash for everything and working on paying off your house it's worth those little sacrifices.
    Mom2Jack04

    Answer by Mom2Jack04 at 3:52 PM on Jul. 7, 2009

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