Big Financial Storm Approaching
Date: Wed, 09/29/2010 - 12:44
Hi Nelly,
I am a natural born US citizen and have been living in the Philippines for about 20 years. I have 9 dependents and six children in school from grade one up to second year college. (we are putting a poor relative through school also) About 3 years ago I began a negative cashflow condition where my expenses were more than my income. Even with severe budgeting I could not balance my budget. So I had to offset the shortage with my USA credit cards by using them to buy groceries and basic necessities. I had/have extremely good credit as I have not made a late payment in 30 years and have no negative reports on my credit record.
However I am reaching a point where making my minimum payments is becoming more and more difficult because many of the credit card companies have been raising my minimum payments (raising the %) and I am now faced with around $1800.00 a month in minimum payments. I have around $75,000 in credit card debt from 5 credit card companies. (the cards are from the largest USA banks)
I no longer have any assets in the USA and am a permanent resident here. I may reach a point in the near future where I cannot pay the minimum payments and am wondering what my options are and what the consequences could be. I am not going to feel good about becoming delinquent on my payments, but I may have no choice. I don't know whether to contact my credit card companies and tell them that I am reaching the point where I cannot make the minimum payments and see if they might have a plan to help. Or...?
If I can't make my payments anymore is there a good chance that they would try to collect my debt here in a foreign country? I dont have many assets here.
I am mostly just trying to get by until I can get my minimum Social security payments (at age 62) in 3 years. My concern of course is keeping my family intact and providing the basic necessities and keeping all of the kids in school. I have some rather severe depression about my financial condition and have a hard time fighting away the gloom associated with my deteriorating situation.
I could possibly pay off all the credit card debt if it was reduced to 30% to 40% using all my savings. I would prefer to do that if it were possible.
Thanks much for any advice.
Philip
I am a natural born US citizen and have been living in the Philippines for about 20 years. I have 9 dependents and six children in school from grade one up to second year college. (we are putting a poor relative through school also) About 3 years ago I began a negative cashflow condition where my expenses were more than my income. Even with severe budgeting I could not balance my budget. So I had to offset the shortage with my USA credit cards by using them to buy groceries and basic necessities. I had/have extremely good credit as I have not made a late payment in 30 years and have no negative reports on my credit record.
However I am reaching a point where making my minimum payments is becoming more and more difficult because many of the credit card companies have been raising my minimum payments (raising the %) and I am now faced with around $1800.00 a month in minimum payments. I have around $75,000 in credit card debt from 5 credit card companies. (the cards are from the largest USA banks)
I no longer have any assets in the USA and am a permanent resident here. I may reach a point in the near future where I cannot pay the minimum payments and am wondering what my options are and what the consequences could be. I am not going to feel good about becoming delinquent on my payments, but I may have no choice. I don't know whether to contact my credit card companies and tell them that I am reaching the point where I cannot make the minimum payments and see if they might have a plan to help. Or...?
If I can't make my payments anymore is there a good chance that they would try to collect my debt here in a foreign country? I dont have many assets here.
I am mostly just trying to get by until I can get my minimum Social security payments (at age 62) in 3 years. My concern of course is keeping my family intact and providing the basic necessities and keeping all of the kids in school. I have some rather severe depression about my financial condition and have a hard time fighting away the gloom associated with my deteriorating situation.
I could possibly pay off all the credit card debt if it was reduced to 30% to 40% using all my savings. I would prefer to do that if it were possible.
Thanks much for any advice.
Philip