Stephen asked:
I would like to find a place were i can put all my debt, credit cards, phone bill, speeding tickets, school loan, auto loan and what ever else i might have. Is there anything i can do to do this. My credit is bad i want to start rebuilding it, but i don’t make a whole lot of money a month. rent is my number one priority. I really want to take care of everything so i don’t ruin my future.
I would like to find a place were i can put all my debt, credit cards, phone bill, speeding tickets, school loan, auto loan and what ever else i might have. Is there anything i can do to do this. My credit is bad i want to start rebuilding it, but i don’t make a whole lot of money a month. rent is my number one priority. I really want to take care of everything so i don’t ruin my future.
#1 by ? - January 26th, 2010 at 04:32
Unfortunately there isn’t a quick “fix” right now.
Yes, in an ideal world you get that big loan and pay off all these little debts including the school loan and then just make one payment on that loan that miraculously is a lot less then paying off all those little bills every month.
Unfortunately the reality is this:
You owe already way too much and don’t make enough money every month to qualify for a loan that would let you pay off all the other loans.
On top of that paying off a big loan usually means a bigger monthly payment. You can drag out the misery and add a couple more years to pay it off… but in no time will you also have credit card minimum payments and the big loan payment and within a year or two you will be in need of yet another consolidation loan to get rid of the various monthly payments you have accumulated again.
Here is the deal: Take the smallest bill and concentrate on getting it paid off, then tackle the next smaller one and so on. This way you work your way up the loan tree you created and actually get your finances under control instead of running to the next bigger loan to get a temporary reprieve.
#2 by vangoexp - January 28th, 2010 at 06:40
first of all, don’t listen to those b.s. commercials, they are snakes. since you don’t have equity in a house or any real property I can see no purpose to consolidation, other than convenience. After a divorce I was in massive debt. I sold my car and got a bicycle. Took up part time side work and ate a hell of a lot ramen noodles and peanut butter sandwiches. It seemed like forever at the time, but I paid off 60,000 in debt, kept up with child support, and maintained an apt.( a small, cheap apt) in less than 3 years
#3 by Michael T - January 28th, 2010 at 22:50
With your credit being bad, no lender would likely lend you the money. Second, if it was possible, you would likely have to pay a higher interest rate for certain loans such as the car loan because it would no longer be secured or the student loan since if it was refinanced, it could be dischargeable in bankruptcy (can’t occur now).
#4 by Stranded Cubby - January 29th, 2010 at 07:04
Consumer Credit Counseling Services.
But really, this isn’t rocket science. You could do it on a sheet of notebook paper.
#5 by mai k - February 1st, 2010 at 08:20
search for the local counseling services.
but not just any place.
here’s the list of approved places.
or,
go visit
daveramsey.com
and ask for a counseling services.