Not sure where to start!

iVillage Member
Registered: 07-17-2008
Not sure where to start!
42
Thu, 07-17-2008 - 5:59pm

Hi, I am embarrassed to even share the amount of debt I am in! Most of it is credit cards. I have tried lowering the interest rates and not one of the companies I called was of any help. I can't even apply for credit cards with lower interest rates because I get refused which makes my credit score go down.


I have been paying down the cards but not fast enough! I don't sleep worrying. My husband and I make quite a good income but we sure have made a mess of where our income goes now - practically all credit cards! We'd be living a wonderful life, even if

iVillage Member
Registered: 07-11-2008
Sun, 07-20-2008 - 9:50pm

Most of my interest went down to almost nothing, some of it did go down to zero.

 

iVillage Member
Registered: 04-26-2007
Sun, 07-20-2008 - 10:04pm
I think the no more mortgage company charges a lot more, though. When I was on the phone with them he talked FOREVER about stupid things and didn't get to the point. MMI was much better about getting to the point and asking the right questions and not sounding evasive. I trust them more.
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iVillage Member
Registered: 07-17-2008
Mon, 07-21-2008 - 5:38pm

I think with all the information you gave me, I'm going to try for a few months to do it on my own. I am VERY determined and now that I have a better idea of what I am looking at, I see that I can free some money up that wasn't going to the right places. For example, I was sending my mortgage company an extra $400-$500 a month, hoping to reduce the 30 year loan down to 15 years. It seems that after reading everything on this site,that was just plain dumb when that money could have already paid a few credit cards off over the last 2 1/2 years.


I sold some jewelry I hated and it was just sitting around doing absolutley nothing. I can't believe it, but I got $7500 that went right to a card and it felt GREAT! I put it towards the one with the highest minimum (highest interest rate) which makes MY monthly bills affordable. Here's the problem....I don't have any more jewelry to sell to bring my husbands cards down to a do-able monthly payment. That's going to take a very long time. Do I forget about my own cards now and just focus on his?


Also,

iVillage Member
Registered: 11-17-2007
Tue, 07-22-2008 - 12:50am

Here is my two cents. Study your statement when they come in if you are planning to start snowflaking. Each company figures interest in a different way Some figure it on the daily balance some on the average balance.


I paid a bill off recently and the next month they had figured the interest on a average balance for the month. Now understand I paid they off all 2200.00 of it but they charged me interest on 1575.00 which wasn't much for me but it may mean something to you on your bills.


I agree with Danni. She is a smart lady. Pay something off that down the road you can use if they offer the cheap interest. (some pay off home depot cards or lowes first well they are not going to offer you cheap money down the road. Banks will. ) But like the ladies said be careful. You are looking for "the life of the transfer or loan" Not the 6 month jobs. You look for when they charge you a fee that the fee is due on the first payment. Then you borrow the fee along with the amount of the transfer so you got the money to pay on that first payment. Don;t have

iVillage Member
Registered: 07-17-2008
Wed, 07-23-2008 - 10:59am

Thank you so much for this information. It's a lot to absorb but I'm learning! I have a question that my husband asked me last night. What if he calls his credit cards and asks them to reduce the finance charge OR he is going to have to "settle."

Avatar for cl_phocid
iVillage Member
Registered: 03-26-2003
Wed, 07-23-2008 - 12:11pm

"What if he calls his credit cards and asks them to reduce the finance charge OR he is going to have to "settle."

All my best,
Danni

iVillage Member
Registered: 07-17-2008
Wed, 07-23-2008 - 12:33pm

Hi Danni,


No, we never charged on that card in the last month and of course, they won't speak to me because my name is not on the card. I'll have my husband call but I guess you're right, they must have raised the interest rate. The minimum went from $465 to $483. Unbelievable since we haven't used that card in over a year.

Looks like I am going to have my hands full since all 4 of my husband's charge accounts are at very high interest rates (28.9%!)

Avatar for cl_phocid
iVillage Member
Registered: 03-26-2003
Wed, 07-23-2008 - 12:53pm

Hi Judy - if your dh's cards are at 28%, then I think finding a

All my best,
Danni

Community Leader
Registered: 01-03-2004
Thu, 07-24-2008 - 5:35pm

Love,


Here's my advice: Dave Ramsey, Dave Ramsey, Dave Ramsey! His "financial peace university" is terrific! He helps people in the very situation you're in. I'm currently starting his program and my brother successfully laid $40K in debt to rest with his program.


It will require some hard work and sacrifice but it's worth it.


DaveRamsey.com...check it out!


Wisdomtooth2020


Banker & Dave Ramsey disciple

iVillage Member
Registered: 07-17-2008
Thu, 07-24-2008 - 6:55pm

Thank you for this! I just took the free tour and I'm ready to sign up. Which one is the best one? Are the online classes as good as actually going?


Judy