hi, i recently racked quite a debt due to my gambling addiction. i owe credit card companies about 40k. that amount is not from purchases but from balance tranfer checks that I cashed to use for gambling. basically, i didnt use any of the check to consolidate debts. I know my credit is ruined because I haven’t paid them in a while. I do however, want to pay them back but I cant afford to pay all of it. I need help deciding if I should file for bankruptcy or apply for debt consolidation. I have a stable job but it would take me a gazillion years to pay all of it. I want to start fresh and start rebuilding my credit. Please help!
Posts Tagged ‘Debts’
debt consolidation or personal bankruptcy?
Saturday, May 8th, 2010hi, i recently racked quite a debt due to my gambling addiction. i owe credit card companies about 40k. that amount is not from purchases but from balance tranfer checks that I cashed to use for gambling. basically, i didnt use any of the check to consolidate debts. I know my credit is ruined because I haven’t paid them in a while. I do however, want to pay them back but I cant afford to pay all of it. I need help deciding if I should file for bankruptcy or apply for debt consolidation. I have a stable job but it would take me a gazillion years to pay all of it. I want to start fresh and start rebuilding my credit. Please help!
Bankruptcy or Debt Consolidation?
Thursday, February 11th, 2010I’m so dumb dumb dumb. I earn roughly $48,000 a yr I have accrued close to $40,000 in credit card debt, it’s about $800 per month, $1750 for my house, $470 for my car, then all related living expenses. I bring home after taxes: $2,600 per month. I have obviously lived beyond my means. How did it get so bad? I trusted people. I trusted someone for 14yrs, never put him on my credit cards, but did take care of a lot of his expenses/debts. He decided he wanted out that he shouldn’t pay me back. That being said, I’m lost, I’m stressed, and I’m ashamed. I can do debt consolidation, but I’m scared. I heard you pay 3 months to them while they are negotiating your debt w/ the credit card co’s. During that time, you are getting more dings against your credit because they aren’t paying them yet…so you have to pay them too. Afterwards, if they are late on payments…more dings. I have a new boyfriend that gives me a grand a month…but I’m afraid the same thing will happen. Any suggestions?
Debt consolidation will leave you with a huge debt ratio, and close all your credit cards?
Saturday, June 13th, 2009When you consolidate debt, it shows all old debts as being paid, etc, but the one new debt ratio, which is the amount being owed to the consolidation company will be huge. QUESTION: Does It lower the credit score to have a huge debt ratio like this?
OTHER QUESTION: and you also want to have say, 3 credit cards, (3 of them is the number you want to have a good credit profile, right), then the debt consolidation companies close your credit cards or do they not? How does it work