401k Loan vs. Debt Settlement
Date: Thu, 08/13/2009 - 17:25
Situation............
1x CC BOA - 17500
2x CC Chase - 9000 (7300 WAMU prior, now chase)
1x CC Discover - 1800
I am currently paying about 750 (450 wamu, 300 others) a month for CC's, no late or missed pymts, perfect pymt history in past 3-4 yrs. Its just feels likes it never going to end. I am also paying 693 a month for carnote/insurance. At the end of day i have no $$$$ to spare. I currently dont have any assets, I rent, I have steady job making 55k yr.
My problem is I never have any $$$ to spend so I still use my cc's. My credit score is currently is about a 700 right now, but balances are high so no more cc's can open.
Option A: Ruin my Credit (approx 5yrs)
Superior Debt called me yesterday and offered me a 36 month plan of 446 per month, includes all fees, no up front fees. They insisted that my credit would be repaired in a couple of yrs.
Option B: Save my credit
Take a 401k loan for 18k and payoff small chase, discover, and 40% BoA. My pytms would be 330 a month plus 200 a month towards BoA. Both would be paid off in 5 yrs.
If I take option a I will never be able to get a mortgage or anything if I decide to buy a home, not very soon.
If I take option b, yes I know that if I lose my job, I will be subject to pay loan back, penalty's, fines, etc. I do have a very good job with excellent job security, we even got profit sharing check this year. So just as long as I do my job well I am good to go.
1x CC BOA - 17500
2x CC Chase - 9000 (7300 WAMU prior, now chase)
1x CC Discover - 1800
I am currently paying about 750 (450 wamu, 300 others) a month for CC's, no late or missed pymts, perfect pymt history in past 3-4 yrs. Its just feels likes it never going to end. I am also paying 693 a month for carnote/insurance. At the end of day i have no $$$$ to spare. I currently dont have any assets, I rent, I have steady job making 55k yr.
My problem is I never have any $$$ to spend so I still use my cc's. My credit score is currently is about a 700 right now, but balances are high so no more cc's can open.
Option A: Ruin my Credit (approx 5yrs)
Superior Debt called me yesterday and offered me a 36 month plan of 446 per month, includes all fees, no up front fees. They insisted that my credit would be repaired in a couple of yrs.
Option B: Save my credit
Take a 401k loan for 18k and payoff small chase, discover, and 40% BoA. My pytms would be 330 a month plus 200 a month towards BoA. Both would be paid off in 5 yrs.
If I take option a I will never be able to get a mortgage or anything if I decide to buy a home, not very soon.
If I take option b, yes I know that if I lose my job, I will be subject to pay loan back, penalty's, fines, etc. I do have a very good job with excellent job security, we even got profit sharing check this year. So just as long as I do my job well I am good to go.
I'm sure that other members would come along soon to guide you,
I'm sure that other members would come along soon to guide you, meanwhile if you may wish to know more about the company, Superior Debt Relief, here is some reading for you.
http://www.debtconsolidationcare.com/forums/about11292.html
thanks, i did my research on them, seem to be a good company, a
thanks, i did my research on them, seem to be a good company, a lil expensive thought.
