Need help with credit card debt.

Hello gene and welcome to the forum! When you say "settle", do you mean pay them off?

Quote:

You might want to look into a consumer credit counseling program first. They can get you one payment with much lower interest rates "6-10% usually " so that you get the debt knocked out much faster than on your own. It will also not hurt your fico score.
However if you are to the point were you just really can`t afford your payments and get overextended than perhaps a debt settlement program might be perfect for you. You can try to settle them on your own or hire a company. If you do decide to settle on your own its unlikely that the creditors will except settlements just yet , being that you said you have been paying the minimums and thus your bills are current. Typically a creditor is not going to negotiate as long as the account is current. I can`t really blame them because they are making a killing in interest so if you are gonna do the settlement route your bills need to be late at least around 120 days late or so.

Thanks for the repplies, guys!

I appologize for not repplying sooner, I had a busy day.

Basically, the thing is that I'm already late on my payments by about 3 months. And I am at a point where I cannot afford to pay monthly and would prefer to settle on a one time payment of maybe half or less of what I owe.

As far as a settlement company, would any one know of a good, legit one? The reason I ask is because I know someone who got scammed by a company that offered to help settle his debt.

Thanks guys!

^That's me up there, forgot to log in.

In that case sounds like you would be better suited for settlement.I could name a few good ones that are out there that are either members of the BBB or at least have a good reputation with the BBB but I suggest you shop around and see who you like best. Superior Debt Services Inc , New Beginnings debt settlement LLC, Century Negotiations. This would be a few I know with good reputations. I hope this helps and have a great week end.

Thanks a lot, mobile0311. I will check those companies out.

Thanks for all the help, guys. One of these days I'll be debt free and it's thanks to you and this great forum. :D

gr8 work guys....

When you get to 120 days late, you can call and tell them your hardship and tell them what you have to offer. Each creditor has their own policy in regard to settlement. Most will settle at 30-40% of what is owed, it depends on who the debt is with. Discover card tends to wait until they are just about to chargeoff before they offer less than 60%. I have settled several credit cards for less to get out of my situation and have found most creditors to be very understanding and they work with you.

One more bit, if they know you have savings to pay them they usually will not settle, instead they will ask you to apply it to the debt and pay lower payments on the remaining balance. However, if you had to borrow from a family member to settle they are more receptive to settle.