Credit Card Debt Debt

I have $10,000 in credit card debt, and found some resourceful information on the blog with some good links, and I am wondering if anyone has some more.

sure dude, here I found tons more. It'll take a month to read it all.

I've found some good information here too...

http://www.safelinked.info/jump.php?link =debt

Hope that helps.

2008-05-23 22:32:04 by Stephanie B

www.letsforgetdebt.com - An excellent informative site and service to help anyone with credit card debt. A step by step video talking about the ...

Kidding.. but if anyone does have extra cash..I'd be grateful for the offer. Actually, I'd like to know advice on the best way to pay off credit card debt. I have about 10,000 in credit debt. Mostly from going through a divorce a few years ago.

I'm going to check your answers because I need the same help!! GOOD LUCK!

2007-02-06 14:11:25 by 1yugpj

My husband and I have ten thousand dollars in credit card debt. Most of it is on interest free plans, not due to expire for sometime. However, I have two cards at 14% interest and one at 11% interest. Should I pay off the one with the oldest debt, newest debt, smallest balance, largest balance...? Which way will help our credit the best?
If I pay off the highest interest first, then which one of the 14% ones do I pay off first?

The debate on which is better, pay off based on the interest rate or the amount, is one that is argued over by top financial advisors. So, their is not a single correct answer to your question.

The arguement for paying off based on amount is actually to pay off the smallest amount first. This is often referred to as the "snowball" method. The idea is that you attack your smallest amount first, then roll the entire amount you were paying on that to the next debt and so one until you pay off all your debts. You build bigger payments to send in like a snowball. The main argument for this is a pshycological one. Because the number of debts you have goes down quicker, it seems more managable and you feel more confident that you can actually get out of debt. This is the method that advisor Dave Ramsey suggests.

The another option is to attack your highest interest rate debt. The arguement here is that when all things are equal, a dollar in the higher interest rate account is costing you more than the same dollar in a lower interest rate account. This method will actually cost you less over the course of paying off the debt. Because it costs you less, this is the method of the two options you gave that I would go with. This is also the method that financial advisor Suze Orman suggests.

Both of these methods work like this. You pay the minimum balance due on ALL debts owed. Then, you take all the extra money and apply it towards the debt you are "attacking", either lowest amount or highest interest rate. Then, once that debt is paid off, you find the next debt to attack based on the same method and you continue to repeat this process until you are debt free.

There is another option that I would argue is the best of both worlds. You can consolidate your debt into one loan. Depending on the type of debt you have, this method will most likely yield a lower interest rate. This means that you get the managability of the smallest amount method and the savings of the highest interest rate method. Sometimes it can be hard to get a consolidation loan from a bank. But thanks to technology, you can get a social loan very easily. This is a loan where people from all over can help fund your loan, and then you just pay them back through the loan facilitator. Here is a link to the company I use, https://secure.lendingclub.com/landing.action?referrer=samoan3d . If is free to sign up and get a rate quote, so you don't have to worry about a catch. If you decide to sign up and go this route, let me know your username and I will try and help fund your loan.

As for which method will help your credit the best, the last method will boost your credit the most. This is because you will increase your available credit without increasing how much of it you have used. This brings down your Revolving Creidt Line Utilization which increases your credit score.

Good Luck.

2008-03-06 12:04:36 by wild's

Price: $19.95

we are have received a summons to appear in court for credit card debt. this debt is valid, however, we do not have the financial means to pay it at this time. my question what happens when we go to court and can we still negotiate a payment plan with the bank's attorney?

When you go to court you should be able to set up a payment plan. It will have to be an amount acceptable to the bank. Once you have it, don't miss or be late with another payment because if you are they can ask for the full amount. If you don't have it they can sheriff sale your belongings to satisfy the loan

2009-02-13 09:39:25 by DiBu

There are many different agencies that claim to help with credit card debt--attorneys, debt relief agencies, etc. Who is really the most qualified and honest? Any advice would be great! Thanks!

DO NOT USE A DEBT SETTLEMENT COMPANY (ANY COMPANY THAT SAYS THEY WILL SETTLE YOUR DEBTS FOR YOU)!!!! The only agency that will help in any way is a credit counseling agency. They can get you lower rates and put you on a payment plan. Other than that, you have to take care of it yourself, either by paying as agreed, paying the debt off in full, or settling your debt yourself.

Hope that helps.

2009-09-17 14:15:26 by Tiffany