Going around in circles

iVillage Member
Registered: 07-17-2014
Going around in circles
17
Fri, 07-18-2014 - 10:10am

So, basically I'm in debt--longer than I should have been--and am hopelessly confused on how exactly to get out.

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Community Leader
Registered: 08-25-2006
Fri, 07-18-2014 - 12:28pm

Welcome to the board!  With more details we can offer more detaled advive.

However, there are a two basics that always apply:

1. Do you know where your money is going?  Write down every single penny you spend for a month.

2. Where can you cut back and where can you earn more?  Many cut cable TV, lower cell phone plans, etc.  Some get a second job, sell things, etc.

After that it kind of depends what kind of debt you have.  Some have enough to eat and put gas in the card, but are drowing in CC debt.  Others don't have CC debt, but are upside down in car loans and toys.  Some scraping by just to eat and pay rent.  This is where a few details would be helpful.

I am sure others will add to this with more good suggestions.

Serenity

Serenity
Avatar for poorboy2011
iVillage Member
Registered: 10-02-2011
Fri, 07-18-2014 - 1:18pm

More information will help! If we don't know what figrues you have for debt, income, and expenses, it's hard to offer advice.

iVillage Member
Registered: 07-17-2014
Fri, 07-18-2014 - 4:01pm

My financial situation is this...

Currently I'm in debt to my parents (who have paid greatly for my credit card debt), to AT&T (whose payment was actually due yesterday but I wasn't able to make the payment on time because the amount was a whopping $411 and obviously I do not have enough to cover it), and to my collection agency whom the insurance company I previously worked for employed to collect the money they lost from chargebacks (which truly aggravates me).

As far as the debt to my parents is concerned, I owe like $30,000+ and the way I see it, I will either have to become a high level courtesan or rob a bank because I feel there is no other way to pay them all that money back before I die.

AT&T is self-explanatory.

With the insurance debt, these are basically are chargebacks from policies I've written but have since lapsed or gone to hell because the policyholder did not pay. A rough estimate would be $200+. If you ask me, I would say this debt was a sign of things to come as it popped up way before my other debts.

I have tried budgeting, spending significantly less, and have even tried to save money, but I have not been able to same even a bit of money, and these ways have not worked to their full efficiency, which is partly my fault.

Community Leader
Registered: 08-25-2006
Fri, 07-18-2014 - 5:32pm

It will probably take a few posts and a few replies to sort through your situation, but here is my first thought.

On the surface, I would think that the order would be the collection agency, AT&T, then your parents.  Do you have any other debt?

Also, you may be able to settle for a lesser armount with the collection agency and AT&T.  Many of us on here have successfully done that.  BUT, you have to be careful.  They generally want the entire amount at once (i.e they accept $100 of the $200), or your account information for an automatic withdrawal.  AT&T never gave me anything in writing and years later it was still on my credit report.  Luckily I disputed it with the reporting agency and it went away without any problems.  So if you try that, don't let them bully you into something you are not comfortable with.  Ask for names, etc. 

And again, write down every penny you spend for a month.  You might be surprised where it is going.  

Serenity

Serenity
Avatar for poorboy2011
iVillage Member
Registered: 10-02-2011
Fri, 07-18-2014 - 7:39pm

The chargeback/insurance debt is $200+?? Do you mean $200,000?

iVillage Member
Registered: 07-17-2014
Fri, 07-18-2014 - 11:01pm

No, that debt is slightly over $200. Also, there are no other debts. I have attempted to keep a register but for some reason I keep getting sidetracked.

iVillage Member
Registered: 11-13-2011
Sat, 07-19-2014 - 5:27pm

You have to somehow cut what you are spending and use that money to pay extra on your debt.

Malea

Looking to work from home ? Ask me how :

www.askmalea.com

iVillage Member
Registered: 11-13-2011
Sat, 07-19-2014 - 5:27pm

You have to somehow cut what you are spending and use that money to pay extra on your debt.

Malea

Looking to work from home ? Ask me how :

www.askmalea.com

iVillage Member
Registered: 04-10-2003
Sun, 07-20-2014 - 12:25pm

Hi there,

I'm guessing when you say that you are getting side tracked you mean that emergencies come up? I agree with other PP's that the best way start is to keep track of every penny you spend. Even if it's just $0.50 on a coffee. You will quickly see where the leak is. Once you know you can start cutting back and tryingn to slowly pay down these debts. It is also a good idea to start putting money away for emergencies. Even if its just $5 a week to start. That way when something does come up you are not thrown off!

Keep posting! The folks here are great for bouncing ideas off of!


Bex -

iVillage Member
Registered: 07-17-2014
Mon, 07-21-2014 - 10:15am

By  "sidetracked" it's a mix...unexpected spenditures come up and also I tend to lose focus after a while.

I really do need creative ideas because at this point I am completed burnt out from my current job and can't think properly. Right now I feel like sticking a tire iron through my mouth because I'm so fucking stressed and aggravated.

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