Sunday, August 23rd, 2009
Debt relief programs?
zuckie44 asked:
My husband and I just did a major construction project on our house to make room for our five month old. Because I don’t work, but now will have to a few nights a week to help out with finances, the increase of our mortgage to cover the construction, credit card bills, student loans for the both of us and the cost of a new baby really has made things tight. We’re looking into debt relief programs where they’ll get rid of the interest rates and lower the balances. I spoke to our accountant who does our taxes and said they’re perfectly legal, but I wanted to hear other people’s experiences with them. I know it will negatively affect our credit scores for a while, which is fine because we’re cancelling the credit cards so we don’t get into this mess again, but how badly does it affect it? Was it worth it for you to do it? We’ll be saving $300 a month by doing it, but I hope the benefits outweigh the negatives.
kemperk, unfortunately that’s not so easy. Not only do I have a five month old, I also have a 7 year old. While we want control of our finances, we didn’t have kids so their grandparents or daycare centers can watch them while my husband and I work 2 jobs each. This was something I thought could help us out, although I know it’s not fair to others who are paying their debt in full. I just don’t know what’s best.
My husband and I just did a major construction project on our house to make room for our five month old. Because I don’t work, but now will have to a few nights a week to help out with finances, the increase of our mortgage to cover the construction, credit card bills, student loans for the both of us and the cost of a new baby really has made things tight. We’re looking into debt relief programs where they’ll get rid of the interest rates and lower the balances. I spoke to our accountant who does our taxes and said they’re perfectly legal, but I wanted to hear other people’s experiences with them. I know it will negatively affect our credit scores for a while, which is fine because we’re cancelling the credit cards so we don’t get into this mess again, but how badly does it affect it? Was it worth it for you to do it? We’ll be saving $300 a month by doing it, but I hope the benefits outweigh the negatives.
kemperk, unfortunately that’s not so easy. Not only do I have a five month old, I also have a 7 year old. While we want control of our finances, we didn’t have kids so their grandparents or daycare centers can watch them while my husband and I work 2 jobs each. This was something I thought could help us out, although I know it’s not fair to others who are paying their debt in full. I just don’t know what’s best.
August 25th, 2009 at 8:49 am
Legal is correct but it missed the point.
Is it fair?
YOU have a house, cars, credit
cards, etc.
Why not live on soup and eggs/beans for 1 yr to get the debts paid off?
IT is what I did!
And if feasible, get rid of the cars;
take the bus to work.
To ask a creditor to take less than
the agreed amount is unethical.
Work 2 jobs each for 2 yrs to get
rid of the debt. And when you
begin paying off everyone–try to make
2 payments a mo–the regular
payment and then ask the entire
amount of the 2nd payment to go only to the principle!!!
in 2 yrs, you will have all your
excess paid off and can start eating
fair again.
Thus, NO Christmas gifts this year;
wait 2 yrs!
[i am on a new diet to keep me from
getting a specific disease. I can skip
the exercise and diet but then,
I know the consequence!!!]