What should I do to get out of this hole

If you had these cards for "while", why are you buying newer cars with high payments?

Because when things were good it was fine. I have had the cards for years, but the balances have got high since I was laid off.
If I could sell the cars and start over I would. But that won't work. I'm not talking 1,000 dollar a month Lexus payments either, just like 500 a month.
Like I said, I had a great job with the salary to pay for things, but after not working for almost two years and finally finding a job, that pays 60k less than I used to make, it just seems like I will never make it.
The economy killed me, please don't tell me get rid of high car/mortgage payments. I can't do anything about those.

Also, don't take me as being rediculous, I am asking you all for advice. telling me not to buy a car I already have isn't advice. If I knew what I was doing, I clearly wouldn't be posting here. I had a few emergencies while I was laid off and had to use credit. It sucks but it is what it is.

Thanks again for any help

Dave

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Cool, i can try that. I mean i can afford to make the minimums barely, but I also don't have the $900 a month daycare bill yet. I just am making no dents in my balance with minimums. It sucks. I have no late payments or anything. But my payments are like $200 for example and 30 goes to principle.

First of all I have to say that i never advocate debt of any kind unless its a mortgage with a hefty down payment but...... in your situation you might want to consider a few options.

1. I might not have all of the information so forgive me. First i would try to sell the cars. I realize you said this was not an option but you didnt say why. Even if you sell the cars for a loss you might be able to qualify for a smaller loan to make up the difference which would give you much lower payments than the cars you currently have. I would then find a much more affordable "beater." This option will only work if you can "qualify" for a small loan. With your credit in the shape its in now, this might not work.

2. Credit Cards. There isnt any collateral tied to the credit cards which means you can stop making payments and not worry as much. There isnt anything for them to come and take from you. I would stop making payments on two of the cards and throw all of that money on to one card. However you have to stay in constant contact with the cards you decide to stop making payments on and if you can, send them a little money when you have extra. Start with the card that has the lowest balance. You should be able to wipe it out fairly soon. I realize this will do a number on your credit but your credit is already being affected by your current situation and you will be out from under this boulder a lot quicker than if you continue making minimum payments. Your credit has the potential to rebound faster as well because you will free up your income. Continue making your mortgage payments on time and your credit will rise but you have to stop the bleeding first.

3. Daycare. Try to find a local church that does a mother's day out program. They are always cheaper than the traditional daycare centers.

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Sometimes we have to make compromises.....take a close look at everything.....anything you can sell? Do you HAVE to move? Maybe you can't buy a house for 5-7 years....the economy is not great at all right now....and house prices may be low for awhile.....call your credit cards and ask for a "hardship" program if you are determined to try to keep your credit.....
to address the prior poster's advice: Just realize if you don't pay 2 of your cards...even if you pay the one, they may still close that account anyway....or lower your limit.
Also, maybe you could sell one car? Does your wife work? Can you take in a roommate.
When my husband's business went "belly up" we took in my Mom who has dementia....and guess what.... "it works" for us and saved our house and our marriage....you'll be surprised at what you can do...things you never thought you could do or would have to do....you do and your ever more grateful that you have options at all!! I hope this helps....think!!!!