What is my best option?
Date: Sun, 10/02/2011 - 09:46
a bit overview...
just moved to a new state with a new job( from ny to MS), my fiance( was working in nyc, now is a stay at home mom), we have been living together for 3 years and now will get married( no common union in ms, and she needs to be in my insurance, i wanted to do it in better circumstances but it has to be done this way.)
i was debt free 1 year ago and God knows how i now owe 16,000+.
my soon to be wife owes 26K.
my cards:
CC1: BOA: 6800 at 12%
CC2 Chase 6200 at 16
CC3 discovery 3000 at 8%
CC4 orchard bank 1440 at 12 %
cc5 GE money 890 at 14%
fiancee Citibank 22K and 4 k on another card.
and a child to come in 6 months
my savings are 4000( and my TDA has about 15k in it). and all my expenses and a little more than minimum payments are met by my income, but this cant go on like this forever! i dont see a light at the end of this tunnel.
i have a choice of increased income and that is locums work( as much as my time allows,.).
i dont own a house but i served as cosigner for my brother in ny.
i have a good credit score/history and have never been late in a payment.
what is my best option? get a personal loan and pay half of them and finish the rest later?
go to one of this debt settlement agencies?
do you guys know a good financial planner or counselor in MS that can recommend, anything i can read? i need help and i dont know where to start!!
and now another child is coming!.
thanks a lot!!!
I would have consolidated the credit cards in such a situation.
I would have consolidated the credit cards in such a situation. You can either take out a loan as you have said or else you can do balance transfer. You can transfer the balances from all of the other cards to CC3 one so as to get the interest rate lowered. This will also help you in lowering the number of credit card debts that you have. Moreover, just as you have said, you can go onto try and earn more money.
However, don???t close down the other accounts after balance transfer as this will hurt your credit. Use these cards as lightly as possible in order to avoid incurring further large debts.
Best thing to do is get a personal loan to cover all those bills
Best thing to do is get a personal loan to cover all those bills into one. Assuming that you can.
If not, try the balance transfer. But I heard this can lower your credit score. I tried the balance transfers, but honestly if you aren't paying off most of those bills, it's not worth it. You're in the same boat.
Consolidating into one monthly bill is a lot better. For the life of Christ, live within your means. Create a budget. I didn't believe making a budget sheet help but it freaking does. Eliminate stuff you don't need. Home phone, cable, lower your internet speed, don't go out as much. Since you got a baby coming a long the ways, it's definately gonna get tight.
If you get denied by the loan officer, call the credit card companies. Ask for lower payments and interest rates.
Options
Since you'll be married soon, and your wife-to-be doesn't have an income, you might as well consider yourself $42,000 in debt, as I'm assuming you're paying her bills, as well.
Debt settlement and bankruptcy are intimidating - especially if you have good credit. Based on the information you provided, I have a feeling that Consumer Credit Counseling wouldn't save you much on your monthly obligations. So, I agree with the others; check out your loan options. Remember, banks can be a little difficult when lending, so if you run into this problem, look into the possibility of borrowing from a credit union. If you're going to consolidate, though, I suggest adding your fiance's accounts into the consolidation loan, as well. Why have more bills than you need?
If you have difficulty getting the loan, I suppose you can look at other options, but this should probably be your first step. Also,have you heard of Damon Day? He's a very honest, straightforward financial consultant; perhaps he can point you in the right direction.
Good luck!
thanks all!
thanks for your input guys!!
ill start looking into a loan, last time they offered me one they offered me 30 k( which would leave some bills out but its still a good deal.).
thanks guys!! ill keep yall posted!