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Guest · Posted: Wed May 11, 2005 2:17 pm Subject: is consolidation for me?

Hi. I have (along with my husband) about $50,000 in credit card debt that was accumulated while starting a new business. We are now both self employed and currently paying $1000+ a month in credit card minimums. We finally stopped paying the credit cards a few months ago because we couldn't pay them any more and we were getting lots of overdrafts from our bank from insufficent funds. So while the checks were getting paid we ended up even more in the hole.

I contacted a local credit counceling service but they said our monthly payments would still be around $1000 (the only difference is that they would be paid off in 5 yrs instead of indefinitely). We still can not pay it. Our business is good but we also have a lot of monthly expenses- cars, mortgage, insurance, etc. and don't have an extra $1000 a month to pay those credit cards. If it weren't for that, we would be o.k. financially.

Getting rid of a car or insurance isn't really an option. Neither is selling our business. Neither one of us like the option of bankruptcy but is that the only option? How does bankruptcy affect you when you own your own business? Any advice? Thanks Smile

Posted: Wed May 11, 2005 2:41 pm Subject:

Hi Guest,

When you don't have any choice left, then only you should file for bankruptcy. Bankruptcy ruins your credit history and it remains there till 10 years from the date it was discharged. You may also lose your most valuable property after declaring a bankruptcy.

In your case, when you have your own business, the growth rate will get badly effected since you won't be eligible for business loans in the open market. As a result, all the chances of expanding your business will get effected.

In that comparison, debt consolidation is much more advantageous because you can make regular monthly payments which will slowly clean all your debts.

So, I hope that debt consolidation is a much better choice rather than declaring bankruptcy. However, for your better understanding, please go through this page http://www.debtconsolidationcare.com/avoid-bankruptcy.html which will give you complete knowledge of bankruptcy.

Please let us know your feedback and stay in touch often.

Roxette

Guest · Posted: Wed May 11, 2005 4:11 pm Subject:

I would like to do the debt consolidation also, over bankruptcy, but is it still possible if you have no to very little income left over after you pay all basic monthly bills? Without putting anything into savings, we may have $100- $200 / month left without paying the credit card bills which would currently be close to $1000. I also hear that the minimums on credit cards will be raising soon (almost double)Is this true? so if my minimums are $1000 now, they will be $2000 soon. That would just be impossible for us. Thanks! this is a great and informative site. Keep up the good work.

Posted: Wed May 11, 2005 4:33 pm Subject:

Hi Guest,

In this case, I will suggest you to sign in for debt consolidation program at the home page of this site http://www.debtconsolidationcare.com. After doing the sign up, one consultant will get in touch with you and the best part of this program is that you will have a lower monthly payment plan with lower interest rates at this site. You can discuss the matter with him and I am sure he will be able to choose the best option suitable to your needs.

Additionally, you will be able to enjoy some benefits as a member of this site mentioned at http://www.debtconsolidationcare.com/benefits.html

Hope you will be happier to find the most competitive rates and interest in this program

Regards
Roxette

Posted: Wed May 11, 2005 5:32 pm Subject:

guest · Posted: Wed May 11, 2005 6:01 pm Subject:

There are a few expenses that we could cut- dish network for $25/mo. , blockbuster online for $15/mo and probably about $25 in long distance phone calls a month. Still that is only $65, and though I know I should minimize as much as possible, I find it hard to believe that $65 will make much of a debt when We are still short almost $1000 a month, does that make sense. Won't the debt consolidation monthly payments still be too big for us to meet?

I would really like to sell my car which takes a lot of gas (expedition) and downsize to a smaller car, but we have about $1500 negative equity in it, and with our credit so low now we probably wouldn't get a very good deal on financing a new (used) model. Any ideas on that?

Posted: Wed May 11, 2005 6:41 pm Subject:

Posted: Thu May 12, 2005 9:24 am Subject:

Hi Guest,

Just the way you thought about selling your car, you will find some other ways also to reduce your expenses to the minimum. From one end, you can try to minimize your expenses to the shortest and from the other end, you can give additional effort to increase your income through other sources. A perfect planning will definitely make your life comfortable.

Hoping to hear from you soon.

Regards
Roxette

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