Comments on: How can I reduce my debt with the following situation? http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/ Articles all based around the subject of personal finance Thu, 09 Sep 2010 23:26:41 -0700 http://wordpress.org/?v=2.8.5 hourly 1 By: ed m http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/comment-page-1/#comment-1231 ed m Wed, 17 Feb 2010 02:29:49 +0000 http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/#comment-1231 you have only one good option have a family conference and tell everyone we are DOWNSIZING a LOT get rid of anything you really truly do not need that has a monthly charge. cell phones internet service cable tv 2nd car unless it is really needed for the wife to get to work both look into public transportaton. lawn service if you have it if your house is not worth what you owe i would not advise dumping it right now. if you did this and throw all of the money toward credit cards starting with the highest interest and work your way down you could get all out of debt in a few years.. do not worry about your credit score -- you will not be seeking any credit in the near future. good luck and keep us posted when and you get back on the interent you have only one good option

have a family conference and tell everyone we are

DOWNSIZING a LOT

get rid of anything you really truly do not need that has a monthly charge.

cell phones
internet service
cable tv
2nd car unless it is really needed for the wife to get to work
both look into public transportaton.
lawn service if you have it

if your house is not worth what you owe i would not advise dumping it right now.

if you did this and throw all of the money toward credit cards starting with the highest interest and work your way down you could get all out of debt in a few years.. do not worry about your credit score — you will not be seeking any credit in the near future.

good luck and keep us posted when and you get back on the interent

]]> By: nicole k http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/comment-page-1/#comment-1230 nicole k Tue, 16 Feb 2010 23:07:55 +0000 http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/#comment-1230 Here is an excellent site with some wonderful options 4 U. Check it out…….. Here is an excellent site with some wonderful options 4 U. Check it out……..

]]> By: scarlet rose http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/comment-page-1/#comment-1229 scarlet rose Sun, 14 Feb 2010 08:06:14 +0000 http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/#comment-1229 Have you ever considered working from home? I started working from home a couple of months ago after I started getting my wages garnished. I have made $2,000 so far. There are a lot of great, LEGIT, free opprotunities out there. Feel free to check out my blog and email me if you have any questions. Have you ever considered working from home? I started working from home a couple of months ago after I started getting my wages garnished. I have made $2,000 so far. There are a lot of great, LEGIT, free opprotunities out there. Feel free to check out my blog and email me if you have any questions.

]]> By: Jen G http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/comment-page-1/#comment-1228 Jen G Thu, 11 Feb 2010 08:58:35 +0000 http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/#comment-1228 I'd recommend that you pick up a copy of the book The Total Money Makeover by Dave Ramsey. He has a baby step approach to getting out of debt and building wealth for the future. The plan is working for my family and I, and it can be done at any income level. It was truly a life changing book for us. The main points he makes is that you have to live within your means using a budget, get out of debt, and not borrow money again. Without payments, you can build your wealth much more easily. I’d recommend that you pick up a copy of the book The Total Money Makeover by Dave Ramsey. He has a baby step approach to getting out of debt and building wealth for the future.

The plan is working for my family and I, and it can be done at any income level. It was truly a life changing book for us.

The main points he makes is that you have to live within your means using a budget, get out of debt, and not borrow money again. Without payments, you can build your wealth much more easily.

]]> By: Annie http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/comment-page-1/#comment-1227 Annie Wed, 10 Feb 2010 07:10:47 +0000 http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/#comment-1227 Cut up your credit cards. Start selling thing. Sell everything you don't have to have in order to live. If you can, get rid of your car and take public transportation. Take a second job. Never eat out, clip coupons and eat healthy, but very cheaply. Do not buy anything except in thrift stores out of absolute necessity (exception...underwear). Every penny possible should go towards paying off credit card debt. After that's paid off, get an emergency account goung. Save 4 - 6 months living expenses. Refinance your house with a 15 year mortgage. After that, start putting 10 - 15% away for long-term investments (I do NOT want to be supporting you in your retirement.) Make sure you have enough insurance. OK, now consider if you can quit your second job and get an inexpensive car. No more credit cards, though. If you do these things, you will accomplish your financial goals and more - and I won't have to support you in your old age!!! Cut up your credit cards.

Start selling thing. Sell everything you don’t have to have in order to live. If you can, get rid of your car and take public transportation.

Take a second job.

Never eat out, clip coupons and eat healthy, but very cheaply.

Do not buy anything except in thrift stores out of absolute necessity (exception…underwear).

Every penny possible should go towards paying off credit card debt. After that’s paid off, get an emergency account goung. Save 4 – 6 months living expenses.

Refinance your house with a 15 year mortgage.

After that, start putting 10 – 15% away for long-term investments (I do NOT want to be supporting you in your retirement.)

Make sure you have enough insurance.

OK, now consider if you can quit your second job and get an inexpensive car. No more credit cards, though.

If you do these things, you will accomplish your financial goals and more – and I won’t have to support you in your old age!!!

]]> By: DrIG http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/comment-page-1/#comment-1226 DrIG Tue, 09 Feb 2010 14:56:38 +0000 http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/#comment-1226 You did not state your income but it seems from the loans that you have that you are in danger of being overextended. There has been a major increase in foreclosures due to a great extent by the recent housing slump. First, look carefully at the amount of interest that you are being charged by each credit card company. You may call them and ask for a reduction in the rate. If they agree you will be surprised how much money you will save and how much more quickly the credit card balance will be paid off. If the plan above does not work for you then you can try to get a lower rate from other credit card companies. You can play the game of playing one credit card company off the other. Just be careful of h transfer fees. Surprisingly, I am going to suggest that when you pay off the balance that you do NOT close the account. Just do not use it. The reason is that your credit rating will be lowered when you close the account. I know that this seems wrong but in reality an important element in your credit score is your debt to credit ratio. You will be lowering the amount pf credit that you have available which is not good. You are on the right track. Lowering your debt is essential. You also need to raise your credit score. Good luck! You did not state your income but it seems from the loans that you have that you are in danger of being overextended. There has been a major increase in foreclosures due to a great extent by the recent housing slump.

First, look carefully at the amount of interest that you are being charged by each credit card company. You may call them and ask for a reduction in the rate. If they agree you will be surprised how much money you will save and how much more quickly the credit card balance will be paid off.

If the plan above does not work for you then you can try to get a lower rate from other credit card companies. You can play the game of playing one credit card company off the other. Just be careful of h transfer fees.

Surprisingly, I am going to suggest that when you pay off the balance that you do NOT close the account. Just do not use it. The reason is that your credit rating will be lowered when you close the account. I know that this seems wrong but in reality an important element in your credit score is your debt to credit ratio. You will be lowering the amount pf credit that you have available which is not good.

You are on the right track. Lowering your debt is essential. You also need to raise your credit score.

Good luck!

]]> By: Mustaf H http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/comment-page-1/#comment-1225 Mustaf H Tue, 09 Feb 2010 14:51:34 +0000 http://www.writefinancial.com/08/how-can-i-reduce-my-debt-with-the-following-situation/#comment-1225 You borrowed yourself into this problem. a 670 rating is high risk status and therefore high interest. Cut up all your cards, SELL your house, pay down your debts and get back into the housing market in a much, much less expensive place. Rebuild from there. Better to sell your house than to have it taken from you. You borrowed yourself into this problem. a 670 rating is high risk status and therefore high interest.

Cut up all your cards, SELL your house, pay down your debts and get back into the housing market in a much, much less expensive place. Rebuild from there. Better to sell your house than to have it taken from you.

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