Payday Loan Fairy

Chase filed a law suit against my husband for a delinquent credit card. He never had to go to court but they (the law firm) wanted $300/mt until the card was paid off. We're still paying on it and it's a huge budget buster! We only have a few other outstanding/low amount bills. I was wondering if debt consolidation companies would consolidate this Chase bill as well so we can get these people out of our lives!

well you could borrow the money from some other source the source would make a check payable to chase and the other folks you owe money to -- but do not fall in the trap a lot of folks do!!! the are out of debt except for this one big debt and than they take there credit cards and go on a spending junket!!!

2008-09-30 09:51:09 by Alicia H

www.debtconsolidationupdates.c om With the economy in trouble and more layoffs being announced every day, many people are looking for ways to stay ...

I'm wondering if anyone has had any success using those debt consolidation companies and if so, what's the process of it? How does it work and will it really work at lowering your interest rate/debt owed? And what company(ies) did you use? Thanks!

Don't do it! I know a ton of people who used those so called "debt consolidation" companies who went further into debt over them. No matter what, you will always owe what you did not pay.. .often they promise to remove things from your credit.....don't fall into this, you can dispute inaccurate things yourself. In the long run, you may end up owing the debt consolidation company itself....which could be worse!

Stop charging, start paying cash. Pay all your current bills on-time, and keep current accounts in good standing current and in good standing.

Review all your credit reports, then learn how to live on a budget so you can start paying off your debt. Ex: shop cheaper, eat in instead of out, temporarily forfeit the lavishes you do not NEED, like a $70 bottle of lotion. I find eBay and Craig's list are a great place to sell things you do not use. You can get extra $$! One of the first steps to controlling debt, is controlling the way you spend money. Especially if you are spending money you do not have!

Then, make arrangements through the mail only with your collectors. Work out a deal you can afford. Ex $50 a month to each delinquent account. Then ask for a letter of deletion once the debt is paid off. Make sure you get this in writing if they agree.

As far as lowering the finance charges, you can request that yourself. Just write and ask. Or, if it is your credit card company, just call and ask.

Good Luck!

2007-12-25 11:36:27 by MiM

I've become over whelmed with my credit card debt and I'm getting those phone calls because I'm missing payments and such. Anyway I'm looking for a credit card debt consolidation company that doesn't screw people over, anyone know of any from experience or just know a good one?

Try http://personal-financial-help.solutionsarticles.com they aren't that bad (7% for me) and definitely quick.
The Idea is to find a loan at less interests than you pay now, and fixed interests.
Credit cards can have high interests so it shouldn't be difficult to beat them, depending on your credit score.
Whoever you go with, you should always check if they belong to the American Bankers Association at http://buyersguide.aba.com or at least the https://www.bbb.org the above people do.

2009-01-27 10:32:44 by nikki

If anyone has any experiences with good or bad in dealing with a debt consolidation company let me know. Would it be a good idea to have one help me if I have about 4,000 dollars in debt?

They usually wont do much for you unless you have $10,000 in debt.

They essentially call up all your creditors and tell them that you will probably go into bankrupcy and not pay them unless you can work something out. They then negotiate a reduction in your interest rate, a reduction in your debt, and a new lower payment. That is the good part.

The bad part is that the lender is then taking a loss after lending you money. Like the friend that always mooches and doen't pay their share, it makes other lenders less likely to lend to you. This will lower your credit score for a while and the credit negotiation will be noted on your credit report.

Your $4,000 may be uncomfortable, but it is definately manageable. Do what you can to work this out without going through the counseling. Try getting a second card and transferring the balance - thry will often give you a low transfer rate for a few months. This will give you a chance to get ahead in your payments (keep paying as much as you can even though the minimum payment is less).

Remember, a good reputation is invaluable. You need to protect it and build it up. Just because you can borrow money doesn't mean you should.

2007-03-14 22:45:38 by hotsing1

I wonder I always hear on the radio claims that company A reduced my debt from 40,000 to 10,000
How is that possible? And how do these companies make their money?

They charge you a fee to handle your situation. That's how they make their money. Sometimes they work their fees into your monthly payment and the total still comes out less than if you were trying to pay all the bills separately.

Nobody legally reduces their debt from $40K to $10K without filing bankruptcy. Beware of those exaggerated claims.

If you are really behind in payments and the creditors think you are a heartbeat from filing bankruptcy, they will negotiate to reduce the amount you owe by about 30-35%. That's how the consolidator gets your debt reduced, but not by 75%!

2009-01-25 14:09:58 by Eric F

Im about 10 grand in the hole! I have been missing payments to credit cards lately, and have medical bills that I haven't even considered paying. I just make sure I keep my rent, and my care note payments up to date.

I hear these advertisments all the time for debt consolidation companies (not bankruptcy) and was wondering if anyone out there has had any luck?

DaveRamsey.com is the place to go! His theories are amazing! We are currently attending one of his Financial Peace University classes. All I can say is read up on his site before you do anything else!

2006-09-12 19:56:31 by silverblack12345