Need help getting out of credit card debt
Date: Fri, 01/27/2012 - 02:08
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Unfortunately, I had serious medical expenses and ran up a debt of around $16,000 with Bank Of America with an APR of 24.24%
I have another credit card which is from HSBC with a $7,500 limit with a 6.something APR. This card is empty,
I have the following 3 options, which one makes the most sense?
1. Transfer $7000 to the HSBC Card with the lower interest rate, and continue using the higher interest card for daily purchases, but work harder to pay it first.
2. Transfer $5000 to the HSBC card, freeze the Bank Of America card, and use only the HSBC card for purchases. I would then have to work on paying them off equally, since I need some room to spend money.
3. Freeze the Bank of America card, and only use the lower rate card for purchases. I don't think this option make sense.
What to you suggest? Any other suggestions?
Thanks
UrO
You sound like you are simply shuffling your debt around. How a
You sound like you are simply shuffling your debt around. How about STOP USING CREDIT??? Pay with cash??
If you have $16,000 in credit card debt and are paying 24% inter
If you have $16,000 in credit card debt and are paying 24% interest, depending on your income, you might consider filing Chapter 7 bankruptcy. It sounds like you're borrowing on one card to pay the other card just to live. At some point, both cars will be tapped out and you will have $23,500 in debt to pay. If you make a substantial income, you ought to consider stop charging and budget your money to pay off that $16,000 credit card. Continuing to charge just because you have available credit is foolish and setting you up for failure. It might be is a good idea to get a free consultation from a bankruptcy attorney to find out what options are available for you.
