This is an insane Jungle! Any guides available?
Date: Tue, 01/08/2008 - 20:05
So let me give a brief intro: I'm 32, married with 3 kids. I've been in debt since I was about 22, with it slowly growing over the years. Although I deserve credit for poor choices/money management early on, I would dare say that maybe half of my unsecured debt (approx $17,000) comes from things out of my control - car repairs, medical bills and a very bad business decision - over the past 4 or 5 years. If you can't save money (cause you're paying debt payments all the time!) how else do you pay for emergency's?? On a credit card of course!
So now, here I am, making minimum payments seeing no light at the end of the tunnel! I'm currently on time with my payments, but I'm also living paycheck to paycheck. My wife and I both work full time jobs just to get by! If one of us were to lose even a weeks worth of income, we would be forced to skip credit card payments. On top of that, there's little to no room to save anything!
I am so torn as to what I should do! I've leaned heavily toward debt settlement, but then I read a few horror stories about people getting sued or having wages garnished and back on the fence I go! When I registered for this site I was contacted by Allied debt solutions, but their website is different... federatedfinancial.com...which seems a bit odd to me. I talked to a guy a couple of times, but after answering questions he jumps in and says: "lets get started...what's your social security number?" I'm thinking to myself 'is this guy for real?' He calls me 3 or 4 times a day now when I've already told him that I have little to no time to talk to him during the day, and that I will call him.
So in researching this site, I came across Superior Debt Services, which I believe is also known as Superior debt relief (superiordebtrelief.com)...is this correct? Anyway, I've read great feedback about this company and would be interested in talking with them if they really are a good company for this.
I guess I just need some serious guidance through this jungle! I know I need to do something drastic so I can gain control, and I really don't care at this point about having my credit hurt. I'd rather be able to start living my life again and let my credit repair over time than to continue down this path of insanity!
The one and only thing I see clearly at this point is that when the credit cards are gone I don't ever want to use them again! A Debit Card will suit me just fine!
Any help would be greatly appreciated!
Ron :?
This site is for real. As to your unsecured debt, first set asi
This site is for real. As to your unsecured debt, first set aside enough for rent (or mortgage), food, kids, etc, then the credit cards will get something. As to garnishments, that depends on your state.
Just to be clear, I wasn't asking if this site is 'for real', bu
Just to be clear, I wasn't asking if this site is 'for real', but was referring to the guy wanting my SSN first thing.
I guess I should also clarify that I know my stuff when it comes to money management. I worked for a brief time in financial services and learned a ton. Unfortunately it was after I had already dug my hole! I know how to do it right now, just don't know what I should do to get out. I like the idea of debt settlement as a way to end this more quickly so I can have a fresh start, but with all the horror stories I feel it important to do my homework. I just know that I can't keep doing this minimum payment crap that is getting me nowhere! I also know that I don't want to do credit counseling and drag this out for 5 years, thus the choice to pursue debt settlement.
I've been reading a lot of very good things regarding forgetadebt.com and just might have to look into their program. Anyway, I still wouldn't mind some additional input from all you guru's!
darth..I am no expert when it comes to finances. Sounds to me l
darth..I am no expert when it comes to finances. Sounds to me like you have experience in checking out a settlement company. Do your homework...through the BBB and see what they say about this forgetadebt. As for a business wanting your personal info that fast...I would back off. If they are in a hurry to sign you up I would certainly hang-up. Have you consulted a debt counselor on this site? They can give you some very good information.
You should go into the survival mode. You need to keep your home
You should go into the survival mode. You need to keep your home and car. Let the credit card debt go to"charge off" on your credit account. Nothing will happen in regard to debt collection right away. You need to feed and house your family first. For a period of about one to three years nothing will happen. Then you will most likely be contacted by third party debt collectors. They will be trying to collect the debt.
Just Because a Debt Collector Says You Owe a Debt Means Nothing!
Understanding that first and foremost is important. So many people are fearful of the conflict of a debt collector that they simply pay to get rid of them without even verifying if the debt is valid.
Under that great little law, The Fair Debt Collections Practices Act are all the rules for debt collectors to follow. One of your many rights is that you have the right to dispute the validity of a debt. This can mean anything from interest being charged, fees and penalties and original balance. If a debt has been sold and resold how are you to be sure that you owe anything? You ask. Simple as that. The first time you get a notice from a debt collector or a phone call, advise them that you want the debt validated. You have an absolute right to do so. If you have ever looked, you will even see on the actual notice from the collection agency, the following mini Miranda:
"This is an attempt to collect a debt. Any information will be used for that purpose. If you dispute the validity of this debt you have 30 days to notify us of such"
If you do not answer, the debt collector and the coutrs will assume the debt to be valid and it is possible for them to get a default judgment. To prevent third party debt collectors from collecting you MUST answer every communication from a debt collector properly and they cannot collect!
Along with the BBB, check out The International Association of P
Along with the BBB, check out The International Association of Professional Debt Arbitrators, www.iapda.org. On the members link, I see Superior but not forgetadebt.com anywhere.
Ron - have you taken the free consultation? Sounds like you can
Ron - have you taken the free consultation? Sounds like you can make your regular living expenses it's just the credit card debt. Why don't you talk to counselor - they can refer you to someone in your area, credit counseling services, this is different then doing debt settlement as they work with all your debts and try to get the companies to reduce your payments/interest late fee's etc, so you make one payment and it's what you can afford. If that type of program works for you and reduces your payment alittle then maybe you'll have some breathing room to start your emergency fund, etc. You can click the free consultation on the right of this page.