Debt

Debt Payoff Strategy Tips?

Birdie13
My husband and I are in over our heads, for many reasons, some of which were a result of the poor economy and bad timing, job losses, health crises, and others were simply our poor financial choices. We are 35 and 36, have a $275,000 mortgage (barely above entry-level home in our real estate market, while still having good schools and safe neighborhoods), $285,000 in student loans from my college and law degree, $70,000 in consumer debt, $5,000 in medical bills, and no car loans. We have 2...Read More...
I don't intend this in any mean way. How committed are you to cutting back? Are you hoping this is only very temporary and you can make modest cuts and let the debt float, or are you willing to cut to the bone and dig out of the hole? Two different approaches.Read More...
Thanks for your reply and brainstorming ideas! I keep our budget in an excel file where nearly everything is accounted for and keep tabs on how we're doing vs. budget in an app from our bank. We stay pretty close to budget most of the time, especially right now. My net paycheck every two weeks is $2,600 and my husband's weekly unemployment check is $611 (monthly approx $7,644). Our consumer debt is a mix of low interest and high interest credit cards and loans (some are for a roof, furnace...Read More...
Last Reply By Olivia · First Unread Post

Student loans!!

80,000.00 in student loans, masters degree but will be dead before they are played off . HELP!!!Read More...
I would love to know about the public forgiveness program!Read More...
I spent 10 years paying back my loans, but pay them back I did, and that was working at jobs that did not pay well.. believe me, there were many months I had to choose between making that payment and having heat. I guess I don't understand the thought process behind taking out LOANS and then expecting them to be 'forgiven' instead of paid back. That's why they're called loans and not gifts. But to be helpful, get a job... or two... or three... and pay them off. Work with the lender if the...Read More...
Last Reply By Brenda Perego · First Unread Post

Student Loans vs. Everything Else

Stephanie C
We currently have about $280k in unsubsidized student loan debt (gotta love doctoral programs!), plus a mortgage and some random other debts which will be paid off by the beginning of the year. Every time we look at ideas when it comes to paying off student loans, it seems like we get a different answer, so I'm looking for some more opinions in general. As it stands, we're on an income-based repayment plan. Assuming our incomes don't change at all, over the course of 25 years we would be...Read More...
I have these same questions, since my student loan debt is sizable as well. I pay $1300 a month on IDR and it doesn't even cover all of the interest accruing. I'd have to pay close to $2500 a month to pay it off in 10 years. GAH! It is unbelievably depressing, but unless they do a full scale forgiveness or change the bankruptcy code that allows these debts to be discharged, I'm not sure I'll ever actually pay these off. We try not to live extravagently. We have older cars, buy groceries from...Read More...
I'm certainty not wait for any forgiveness, I'm just not paying any additional at this time, the monthly payment is 899.00, at that rate I'll have paid them off in 7 years. I'm hopeful for a new administration that will see that education is the backbone of this country, and the US government shouldn't be making 6.5 to 6.9 percent interest on college loans.Read More...
Last Reply By Birdie13 · First Unread Post

Credit card debt

I am looking for a way to have a lower interest rate on my credit card and my credit company won’t lower it due to it being a starter credit card. Any suggestions?Read More...
To credit card save moneyRead More...
Last month, I just got a Discover iT transfer with 18 months free financing. I'm sick and tired of being sick and tired of debt. I've got to end this whole mess in 18 months so I just have my mortgage. Good luck, Stephanie.Read More...
Last Reply By Jemal umer · First Unread Post

SUMMONS

Sango
Does anybody know of a book that one can use to give an answer to a summons to pay a debt?Read More...
@Sango also, here's a list of forms you can use to respond to the debt lawsuit. Just choose the form from the state you live in; fill it out and file it with the court. https://www.solosuit.com/posts/9Read More...
😮 WOW...thanks so much.Read More...
Last Reply By George Simons · First Unread Post

How to pay off medical bills?

I have had 9 surgeries in the past 9 years. Are there any grants to help with medical expenses that this community could suggest? AngelaRead More...
It is so sad that in this country people have to be faced with such difficult situations regarding medical care and its cost. Everyone deserves to have the medical care they need/deserve and not have to choose between paying the bill or buying groceries. Something in this country needs to change and we need to eliminate corporate welfare so that the wealthy pay their fair share of taxes so that we can have an equitable healthcare system.Read More...
Never Give Up, my wife has continued to recover, went back to work on light duty the February after the accident, has since had a promotion, and will keep fighting any obstacles day by day. Thanks for the good wishes. I'm sure she appreciates them as I do.Read More...
Last Reply By kittykat1960 · First Unread Post

Payday loans - essential or evil?

Have you ever taken out a payday loan? These short term loans have been discussed a lot in the news lately because federal plans to restrict payday lending (basically, a lender would have to prove you can probably pay the loan before giving it out) have been shelved for now. A lot of people say payday loans are evil because of their fees - some have interest as much as 700% . But others say they're essential for people who are unbanked or underbanked, meaning they manage their money outside...Read More...
Yeah I have three that I'm behind on, now. Everyday, two to three times a day calling. Don't answer my phone these days. I need help. Also, live in Texas, I do believe this is the worst place.Read More...
Wow! That is pretty crazy @AnnieB ! That definitely sounds a lot worse than if someone were to simply fall behind on credit card payments!Read More...
Last Reply By Stephanie Weisman · First Unread Post

Paying off credit card debt

Hi everyone! I am struggling with my credit card debt. I was working full time but now I am on permanent disability with a reduced income. I want to pay off my credit cards but the late fees and my inability to pay the minimum amount are destroying my credit rating. Any suggestions?Read More...
Thank you so much! I will look into them.Read More...
I always suggest a Non-profit agency for debt management, financial counseling, and financial well being. I used Greenpath and found them to be VERY helpful.Read More...
Last Reply By Scootermom · First Unread Post

The Snowball Method for Paying Off Debt

Moore Income
I am curious to know if anyone here has used the Snowball Method for paying off debt and what the results were. I personally have done it a little differently (more like the avalanche method), only because certain credit cards I owe on are still under a "no interest" sign up bonus. To me the snowball method seems like a pretty effective way to do it. What are your thoughts? Have you tried any of these methods? What are some helpful tips you have used to pay off debt?Read More...
I'm currently using the snowball method of paying debt off. Lucky for me I have no debts that incur interest or otherwise I would use avalanche method. I have 3 of 8 paid off, by using snowball. What's difficult about paying the debt off is, being on a fixed income and having a crapload of responsibility to endure and then another unexpected expenditure pops up. Also too, trying to work on raising my credit score(eg. Credit Builder Loan or a secured credit card)and budgeting for it. Makes it...Read More...
@TinaS Both of these methods are simply a way to pay your cards off quicker in a strategic manner. Even if that means a little bit at a time. Whatever you can do, by applying one of these methods, the results can be much better. I have done what you are thinking about doing. I transferred my balance from one card that was going to start charging interest to a card with a no interest sign up bonus. The only things you need to make sure of is that the card you transfer too includes the no...Read More...
Last Reply By Prince_Alarming · First Unread Post

Guide to on-line debt consolidation

AHMED.HAMDY
Online debt consolidation programs facilitate people to analysis, apply and participate in debt reduction programs. the buyer will manage the finance of debts at the clicking of a mouse. With the matter of excessive debt growing on these days, on-line debt consolidation programs have become straightforward and helpful. An online debt consolidation program can allow a consumer to get a loan that will combine, or cover, all of the balances of their unsecured debt. This online debt...Read More...
Debt consolidation to me really ain't worth it. For one there's interest plus the debt amount. Why pay interest if your debt isn't charging you interest? Two, debt in collections usually the collection agency will offer you a one time pay off option at a reduced price. Lastly, paying off debt yourself instead of debt consolidation is more rewarding in the fact that you did it and it was less than debt consolidation. And as it is, even if the debt is paid off, it still stays on your credit...Read More...
Are there and debt consolidation companies you would recommend?Read More...
Last Reply By Prince_Alarming · First Unread Post

Debt Reduction Plans?

Melissa Campanelli
Anyone have any good or bad experiences here? What are the best ways to go here? Combining debt into a no-interest credit card? Any other thoughts? ThanksRead More...
That's a blessing to get a no interest credit(?) card. I'm on the mend from a fabulous disaster myself. My score is poor and rising. Almost out of poor rating. Some food for thought(for those of us whom are trying to get the heck out of debt). If you have debt I prefer the snowball method of paying debt(paying off the lowest amount(debt) of and work up to the larger amounts. For the benefit of those who don't know). Then there's the other payment method. Can't remember what it's name is but,...Read More...
@Ken I share your same sentiment for debt 😡Read More...
Last Reply By Prince_Alarming · First Unread Post

STUDENT LOAN DEBT

Jennifer Dawn D'Eliseo
Will paying off even a low amount of my student loans while I am still in college raise my credit score?Read More...
Paying off some of your student loans should lower your overall debt-to-income ratio and should affect your credit score in a positive way. Although, I am not sure how much it would be noticeable if you were only paying a small amount off. When you pay off your student loan completely, it actually may lower your score a bit as student loans are part of your "credit mix" and when you pay off one type of credit account, if you don't have other similar accounts, your credit score may drop...Read More...
Last Reply By Moore Income · First Unread Post

Unsure How to Proceed

Emily Shifflett
So last year, I had a veterinary emergency for one of my pets that was not covered by his pet insurance. It blew through my savings and then some, but at the end of it, his quality of life is much higher and his life expectancy is normal. I'd do it again. Except now I'm stuck trying to crawl my way out of the debt and that's been a challenge. I don't make a ton of money but live in a HCOL. I've been trying to avalanche it, but aggressively doing so has made me not as financially stable on a...Read More...
It is very difficult when they pass on. That is another thing I think about.Read More...
Completely understand--I took out a loan for surgery for a pet rat named Fiona. Would do it again even though Fiona has since crossed the Rainbow Bridge. Have you tried getting CareCredit? They have a very reasonable repayment plan and are specifically for vet, medical, and dental bills. You might also want to check out a credit counselor such as A Debt Coach--they've been very good to me in helping pay off credit card debt. They got my interest rate cut in half and helped me work out a...Read More...
Last Reply By MsKimberly · First Unread Post

Student loans/debt consolidation

Rinni
I have parent plus loans that I have exhausted deferment and can not afford to pay. How can I get payment lowered. Also, has anyone been able to get a debt consolidation loan with hard inquiries with a 715 credit scoreRead More...
I own like 50,000 in student loan and I can’t afford to pay this off or can I afford the paymentsRead More...
Had to go through Federal website and no, they will not let me do income basedRead More...
Last Reply By Patricia Johnson · First Unread Post

From Debt to Debt-free to Debt again

Jessica Copeland
A while back I was in pretty bad credit card debt due to school, repairs, and, to be honest, several years of not great financial decisions. I ended up getting approved for a personal loan last year and was able to pay off almost all of that debt. However, I moved back out on my own a few months later and due to paying rent, power, etc, along with having to do a few thousand dollars of work on my car and continual medical expenses, I am now in worse debt than I was before. I'm trying to get...Read More...
I feel your pain. Pick the smallest item you owe. Pay a little more on it than the others, use any rebates (Do you do Ibotta? Ibotta to Paypal to your own bank account), refunds etc. to pay off that debt. It will seem like a drop in the bucket - but will give you the feeling that you have accomplished something in paying off that debt. How many savings accounts do you have? I use three 1 for medical 1 for taxes and 1 for personal enjoyment. They do not give me much interest - but they are...Read More...
Last Reply By ekuhlens · First Unread Post

Travel Trailer Debt

PNWDebtbomber
We have a 2015 travel trailer that we've used only twice - and due to my husband's recent two strokes, will now never use. We owe $23,000 on it, and are wondering how we can unload it. Any advice is appreciated!Read More...
@Moore Income , my co-worker is traveling to Montana and staying in an Airstream trailer she rented off VRBO. It's a cool idea to make some money, and it's surprisingly booked!Read More...
RV Share is a website that allows you to rent out your travel trailer. With a little bit of work, you could actually turn it into an asset that is making you money. I know of a guy who owns 3 travel trailers and makes $60K a year renting them out to people.Read More...
Last Reply By KellyFromKeene · First Unread Post
I'm not entirely sold. Curious to hear everyone's point of view on this.Read More...
Yes, they are considerably less. That said; owning a vehicle outright like you do and taking great care of it is a perfect example of someone who wouldn't benefit from a lease. It's all about finding out what's right for YOU!Read More...
Okay. I wasn't aware that a lease payment was less than a car payment. I personally drive old cars and take care of them. for instance next week I've gotta go get the oil changed bc it's due. the first 4mos of the year, I did deliveries out of my car, but as it is 100 degrees here in the shade w/ the heat index, I personally have stopped doing deliveriesRead More...
Last Reply By Lauren Simpers · First Unread Post

debt from a scam/fraud

Yes I am trying to get my finances back in order after a fraud/scam affected my financial life. I am struggling to pay credit cards/ phones from the fraud event. It has hurt my credit score very much...it was reported, I have been trying to fix for 9 months this nightmare. My question is there any way to get aloan with poor credit now to consolidate the balances? I have also been thinking of bankrupsy..any suggestions?Read More...
It is unfortunate that there are people out there who do this to other people. @ALewis gave some great advice to help make payments and avoid bankruptcy, I didn't realize this could be done but it is definitely worth the shot. @Chris C & @Susan3 I am curious to know what types of scams these were and what is your advice on how people can avoid them?Read More...
Hi I was also a victim of a scam/fraud. I am an educated, divorced and retired woman in my 60's who worked hard to get to where I am today...retired and financially comfortable. If I had not been bullied into believing this person, this terrible experience could have been avoided. I am sharing my story in hopes of saving another innocent, hard working person from being victimized. I was planning on paying off my house and finally travel. The difference is that I have investments which I now...Read More...
Last Reply By Moore Income · First Unread Post

credit card trouble again

hello all i am in a jam with my cards again called a credit company and they pretty much said i dont qualify for their program. they said i dont even have enough money coming in to pay my billed and contact my states attorney general to see what would happen if i dont pay my unsecured debt or student loan. i am on disability and he said just to pay my priorities like rent phone food and meds. that no one can attach my income. is this true i live in connecticut. so i set up my payments for...Read More...
Have you spoken to counselors at Greenpath? I found them to be SUPER helpful when I had credit card debt. The financial counseling is free, but the credit/debt management costs a small fee. They may be able to provide some additional guidance. I know from experience that student loans do not go away. You may want to consider calling them and getting a deferment or income based repayment program. (It may be $0) You may also be able to get your loans eliminated if you are permanently disabled.Read More...
Last Reply By KellyFromKeene · First Unread Post
I have about 5000.00 in credit card debt. My account was high jacked and some company out of Daytona Beach was billing my debit card monthly, causing my pmts. To bounce. Now they want double payments, which I can’t afford so they tack on extra fees. I feel like I’m drowning. I disputed these charges and they are returning money slowly. I get a check once a month on disability because of a broken back ( chronic fracture) my credit score in the 500 range and no body wants to give me a loan.Read More...
There are a few companies in this article that you may want to look into for debt consolidation @Barbara Coia Waller https://www.thepennyhoarder.co...-debt-consolidation/Read More...
I have used, and recommend, Greenpath. They are a not-for-profit agency that will assist with debt reduction. They were very very helpful and continue to be for the people I know currently work with them.Read More...
Last Reply By Briana · First Unread Post

My townhome is just a money pit

charlottel
I bought an older (37 yo) fixer upper townhome last September and thought I got a good discount on it. Well I have replaced the whole heating and air system, had to run new duct work, had to replace windows to be able to see out. I had radiation treatments in Jan & Feb and was sick the whole time. Finally went to pulmonologist and found out I have mold in my lungs. So I'm in the process of having mold testing being done. They found a couple of places that were black and hairy and did a...Read More...
Real estate laws are very specific to the different states in the USA so I can only share what is expected in my state, Florida. Unless mold is visible or suspected because of something like odor or obvious and continued dampness in a home, etc. the home inspectors in FL typically do not test for mold. There are certified mold testing companies and licensed mold removal companies that are hired to determine if there is mold present and to get rid of it. However, the inspectors here always...Read More...
I don't have any experience with purchasing a home but I can imagine this must be a huge headache. Hang in there though, things will start looking up!Read More...
Last Reply By mintjulep · First Unread Post

Senior Couple drowning in debt

We are in our late 60s but in good health and are drowning in debt. Our only asset is our home and what's in it. Car is leased. Our home is worth about $185,000.00 and we owe $72,000.00 on it plus have a home equity loan of $26,000.00. Our credit score is 700 and none of our many credit card and personal loan payments have ever been late. I have 1 personal loan of $85,000.00 from a friend at 6% interest that we now owe $29,000.00 for which the monthly pmt is $1,000.00. We need to pay this...Read More...
I just went through this, with a lot more equity in my house and quite a bit lower debt. The reverse mortgage is a pretty complicated vehicle, but the main thing is, looking at your numbers, you probably won't get any cash out at closing if you do qualify. Basically, your existing debt, mortgage and equity line, would be paid off as part of the process. The amount of reverse mortgage available depends on a formula using your appraised home value (you'll pay for the appraisal), your age (age...Read More...
Birdman: You may have problems with a reverse mortgage. My understanding is that a home needs to be paid in full which my math is showing to be $98K (72+26) between current balance and equity loan. While your equity (assuming full market value, not including fees or interest) amounts to $87K, you may or may not qualify for another equity loan it would only shuffle debt, not really pay it since you are talking about $80k in unsecured debt. Bankruptcy may or may not be an option but be aware...Read More...
Last Reply By Don Feyma · First Unread Post

Great Student Loan payoff apps.

SFree
I have found some great apps to help pay down my student loans and they send the money direct to the loan co. for you. Some of the apps also allow you to list credit card debt and auto loans too. They each charge a small processing fee each month but it is worth it. I have an iPhone so I'm not sure if these apps are also offered on the Android platform but their website will tell you. Chipper - newest app to the market offers ways to make extra payments besides the spare change round-ups.Read More...
Hi Maureen, The round ups are calculated and come from the checking account which is connected to your debit card. Some of the apps I mentioned allow you to list your credit card debt account and the rounds ups from the checking account accumulate to have those payment amounts sent to pay down your credit card debt. I don't do round ups from credit card transaction only debit card transactions but you might need to look into the details for each app to see if they allow credit card round ups.Read More...
Can you use these with credit cards or only debit cards?Read More...
Last Reply By SFree · First Unread Post

paying off debt in collections

FrugalFanny
what’s the best way to do this to preserve credit score?Read More...
@Robin Smith It looks like for 2 of them, they handle all disputes online and one has contact info you can get in touch with them at. Here is a helpful article I found that explains how it works.Read More...
How do u dispute the accounts with credit bureauRead More...
Last Reply By Moore Income · First Unread Post

Medical Bill In Collections

Moore Income
I just got a letter in the mail today from a collection agency about a medical bill that I had no idea I owed. Apparently, my old address was on file so it took a while to get to me. The bill is from 2017 but I thought I had paid all my medical bills in July of 2018, but my hospital said they don't show amounts on the online portal I use if it has been sent to collections. The problem is, I don't recall ever being outstanding for very long and although my payments do show I missed a month,...Read More...
I had almost the exact same situation happen to me. Basically I called the billing company and explained my situation, we were able to work something out and they removed the bill from collections. Admittedly at the time I wasn't really checking on my credit score but the quicker you get ahead of it the better off you'll be. Today I have a killer credit score despite that whole situation so don't worry too much! No idea if that helps but good luck!Read More...
Hold tight. Go to the collector and make the same offer. tell them it is all you can afford right now and just want to get it sorted out. Collector will ask for full amount probably, so you tell them to give you their best offer see how they go. The collector is on commission on how much they collect and something from you is better than all those who just don't care. You have to stone face this for a while so they can think about it. Time is on your side so use it!!!!! Court is a last...Read More...
Last Reply By Taylor Michelle · First Unread Post
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