lower payments

Hi Susan ~

I personally think it's a great idea to tackle smaller debts and move your way up the chain. That way you can get rid of them one by one and move forward. The only thing I would be careful of is the possibility of someone bringing you into court. I think that type of account would be more pressing and I would take care of that first even though it may not be the smallest. Think about how great you're going to feel when you start getting rid of these!

Good luck!

I agree, the best way to do this is the snowball effect while offering settlements. If you can't pay all the minimums then don't pay any of them. (as long as these debts are unsecured) Stock pile the money for a month or so that you would have sent out and then call the smallest balance card and offer a settlement. I would start out at 40% and work from there. But the settlement will need to be paid out in a lump sum so make sure you have money before you offer the deal. Also, make sure to get any acceptance on the settlement in writing from the creditor BEFORE you send money. Collectors can and will lie where possible. It's a commission driven industry. Then just continue the process with the next smallest account.

Welcome to the Community :D That's how I got my debt paid off. I started with the smallest balance, really cut back and saved every extra penny, and applied it to my payment. When that one was paid off, I took that payment and added it to my payment of the next lowest balance, and so on.

There are also hardship programs you can check out with the cc. I explained that I wanted to pay them off, but with the fees and interest, I couldn't, and could they work with me. I had some really lower the interest, and some of them drop it, until I got it paid off. You may have to keep calling them, until you get someone who will listen and help.

Feel free to ask questions, we are here to help..karen