What "balance" do you settle??
Date: Thu, 02/11/2010 - 15:33
You are going to be settling the most recent balance, which may
You are going to be settling the most recent balance, which may include late, over the limit and default interest charges. As such, it may be better to settle at 35% 4 months earlier than at 25% later.
everyone has some sort of unique debt load, when settling you mu
everyone has some sort of unique debt load, when settling you must look at each creditor and most of the balance of each creditor.
example:
Chase 5k
BofA 20k
Citibank 2k
Homedepot 2k
Say you have 1k saved up, most clients will start whining why youre not going after the smaller debts, the thing is i am planning out a game plan, and every client has a different debt load.
what i would do is save up enough funds till that B of A is at 150-180 days late and try my hardest to settle that at 20% over the course of 93 days, now youd be only around 9k in debt rather than 29k and the hugest results right up front in the begining.
my goal would be to then get that chase down to around 20% with IC systems and the rest is history with the 2 little small ones, those would be the easiest ones.
always knock off the hardest thing to chew upfront making getting out of debt easier and easier as you go
aka RIOT
So we are like this B of A $44,00 FIA Card Services 12,600 Sta
So we are like this
B of A $44,00
FIA Card Services 12,600
State Farm Bank 13,000
Chase 10,600
Advanta 4,000 (even though smallest I hate them the worst..I hope to pay them nothing)
We have about $3,000 in savings now. Access to about another $5,000. In about 6 months time, I figure we will be able to save another $7,000.00..I really hope..barring no emergencies and waiting to see if we owe taxes. Anyways, so do I just not pay anyone until I settle with BofA and hope to get it spread over 93 days? I really hope I am going to have the money to do all of this. I am scared out of my pants and now I am worried about all the other late fees and crap they are going to add on. I think that was good advice from danothemano too..wow I just want this to be over with!
Quote:Originally Posted by luckin10So we are like this B of A $
Quote:
Originally Posted by luckin10 So we are like this B of A $44,00 FIA Card Services 12,600 State Farm Bank 13,000 Chase 10,600 Advanta 4,000 (even though smallest I hate them the worst..I hope to pay them nothing) We have about $3,000 in savings now. Access to about another $5,000. In about 6 months time, I figure we will be able to save another $7,000.00..I really hope..barring no emergencies and waiting to see if we owe taxes. Anyways, so do I just not pay anyone until I settle with BofA and hope to get it spread over 93 days? I really hope I am going to have the money to do all of this. I am scared out of my pants and now I am worried about all the other late fees and crap they are going to add on. I think that was good advice from danothemano too..wow I just want this to be over with! |
B of A and FIA are the samething, even AAA is the same as B of A, so YES for sure settle all your B of A and FIAs at one time, I highly recommend getting your balances and figuring out what 20% is of all the B of A & FIA debt then dividing it up into 4 payments, what ever that number is tell them you are struggling to pay a lesser amount. example on your current balance $56,600.00 20% =$11,320.00 in 4pays of $2,830.00 GREAT DEAL but tell them you can only afford 2k per month, and try your hardest to stick with this number, the fact is they cant settle at 2k for 4 months, youre low balling them so low knowing it wont work making them automaticly counter you at their lowest percent possibly, typically there are wanting 20-25% latley, because you have many cards and a bigger balance they might go pretty low for you