$40k of debt and got an offer to consolidate...

Hi lucrecia

debt consolidation is surely a great option to get rid of debt only if the process is implemented properly. Prior to signing on any agreement you have to consider whether you will be able to make the monthly payments or not because if you cant pay it then implies that the debt consolidation program is not working out for you. So choose wisely...go for the program that is in sync with your budget.

I hope it was helpful
Take care n keep us posted
Nelly

I saw the same ad - called and my credit score was 716 - they charged me 13.99% - because I have borrowed from Peter to pay Paul, now that 13.99% is difficult. I've never missed a payment - I called and asked them to lower the rate - Nope, can't do that then they look at my credit report and decide I have too much credit and lower the line on my cc with them and start charging me an overlimit fee - they lowered my limit below my balance by $400 - how can they do that - I haven't used that card in three months so how can they lower the balance below what I owe and start charging me an overlimit fee - that should be illegal. If I had been late and fees added, they froze my account and I went over the line then I would understand.

providian/Washington Mutual did that to me as well. I was so pissed -i agree -there's got to be something illegal about that, but I don't know for sure

Chereene, got me a little scared now because I have a WAMU card, never had a problem with them, keep a relatively low balance. the only thing they've done recently is increase my credit limit which is nice for emergencies but does no good for this family because we know if we approach the 25% mark of our limit our scores go down. Would you mind sharing your circumstances for us WAMU holders? I wonder what prompted them to lower your limit
Lucrecia...in regard to your question. Yes I think that 8.99% is pretty darn good but seemingly not practicle(sp can never spell that) especially after reading lostindebts post. That sounds very enticing but I think you'd be stuck with a higher interest rate because your debt is pretty substantial. I'm not sure that going with BOA's offer is reasonable just because it could be unpredictable. sometimes consolidation companies will offer free consultations and you can compare each company's service and even look them up on this site. I think I would do some research on other possibilities. My thought is that it would be to BOA's advantage to stick you with more than their initial interest offer after consolidating your debt.

well i had been late some in the past but had managed to pay on time for around 6 or 7 mos in a row -they continued to raise my interest rate, however, and then all of a sudden they lowered my limit one month by $100. this caused me to go over the limit with them. i called and complained, told them i had been paying on time for over 6 mos but that they continually raised my interest and now they've lowered my limit. i asked them how i was supposed to get anywhere under those conditions. they didn't really care and told me i had to wait until my account was "randomly" picked for review to do anything about the interest and they couldn't do anything about lowering the limit. i couldn't understand how come they couldn't just review it right then and there, but they said that's not how it works. i was livid. i hate washington mutual!

well this depends on if you think you can swing it. But i must advise you that if this loan uses your home for collatoral i would not do it. and this is why. Listen, you have unsecured debt right now they cant take anything away from you the only thing they can do it sue you in court if you wrap all this into a loan with a lean on your home what happens if you loose your job or income? your home is protected at the moment and wrapping this debt up into it is scary i have done this and its stupid. What was once safe is now being up for risk because of what you purchased on this card.

Don't ever believe that line from the creditors that any increase in interest or decrease in your credit limit is due to periodic reviews. They are waiting for you to pay enough down to snatch it from you. I figured this out after paying $5500 on a $10000 card from b of a, and "coincidentally" the next day my account was reduced to $4700, only $300 available. I was attempting to pay it down and hopefully qualify for a low % transfer to help buy me some time until I got my raise. So much for that. The customer service rep had nothing to say except it was periodic account checking and coincidental. Bull @#$#. Needless to say this is now one of the many accounts I have in my DMP. Ridiculous!!!