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Brat · Posted: Wed Dec 27, 2006 2:18 pm

I have lotsa credit cards and everything is overdue for the past 5 months. I have got a job which pays me enough to pay bak these cards but i do not know where to start from. I have like a minimum of 400 bux of 6 - 7 cards. I can pay one at a time but do not know where to start with. Coz if i pay one others would go an extra month without payment. Any advice would help.

Posted: Wed Dec 27, 2006 2:37 pm

First figure out what you can pay total each month. Then, find out which one has the highest interest/highest amount due, and calculate that.

Second, call each one, and tell them what you can afford. Explain to them you're going to need time to pay these off, and ask for an extention or an "pass" from getting any late fees or overages. They'll do this if you stick to your plan, but if you forget, then they'll automatically stick it back on there.

Be careful, and make sure you can afford to pay $400 each month, or however much you can send in.

Regards
Mike

Posted: Wed Dec 27, 2006 3:09 pm

I have a card that I am paying $20.00 month on. I also have other accounts, but I am only paying a little each month on them.

Posted: Wed Dec 27, 2006 4:26 pm

natdust---what are you asking? It's a little unclear.

Posted: Wed Dec 27, 2006 4:29 pm

I was responding in regards to Brat's post. Moreless, that you can pay a little and they will apply it. At least, they will sense that you are trying to pay your debts.

Posted: Wed Dec 27, 2006 4:32 pm

I see---it sounded more like a statement that needed an answer. Sorry!

Posted: Wed Dec 27, 2006 5:41 pm

I too have a credit card that I am paying $20 for month as well because they decided to close my account and not open it back up. But I am paying them as if they were open (which is a good thing that they are not open.) Contact each one and explain your situation and see what options they have. That is the first step.

Posted: Wed Dec 27, 2006 5:44 pm

While paying $20 a month may take a while to pay off your debt, it's the best way to show the company you are at least trying. Then, once you have some of your other debts paid off, take the amount you were paying those debts and apply it to making larger payments on your credit card. Eventually, you'll be all paid off!

Posted: Wed Dec 27, 2006 5:52 pm

You may need to pay a little more than $20. In any case where they are not willing to work with you, you'll need to pay at least the over-balance fee, which is usually like $29, or $35. This will still keep your balance the same, but at least you won't be incurring late fees if you just avoid the debt altogether.

Regards
Mike

Posted: Wed Dec 27, 2006 5:55 pm

I agree with Suebee. I would recommend that you pay the $20 per month at least until you have one of your debts paid off. Then take the money that you have used for those bills and pay off that credit card. Or better yet, when you have extra, apply it to your credit card payment if you can. With these scenarios, you can show that you are attempting to pay your debt.

Posted: Wed Dec 27, 2006 5:57 pm

The card that I am paying $20 month is still open and reporting on my credit as paid and current. That is just luck b/c until Oct. 06, I hadn't paid anything in like a year. (NOT SURE HOW THAT HAPPENED, BUT LOVE IT) Anyway, they said that when I finish paying the balance that they will issue me a new card with the same benefits, if I wanted it.

Posted: Wed Dec 27, 2006 11:31 pm

Some credit card companies have programs where they will eliminate your interest and allow you to make minimum payments. Call each of them and see what you can work out. Talk to them and see what they are willing to do. They don't want to lose your future business and don't want you to default anymore than you do. I used this plan, made minimum payments and then focused the rest of the extra money on paying off one at a time. ... kind of like dominoes. Once one is paid off, you have more to send to the others.
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