Question
Get out of debt?
I am in debt and need help. My wife and I went through a rough patch and we owe about $10000 to various collection agencies. The problem is they all want $100 a month and well I dont have the money to give them what they want. How can I pay these people off and somehow rebuild my credit score. Most of these bill are medical related but there is the pesky discover card that sued me for 5k and won. They want $400 a month but I refuse to pay that much because I have mouths to feed. What are my options?
2 years ago - 3 answers
Best Answer
Chosen by Asker
You need to seek legal advice regarding the possibility that you may have to file bankruptcy. It will stop the hounding and get you some relief, but will not "wipe out your debt". But before you can seek legal council for bankruptcy, you must first seek help from a qualified credit counseling agency.The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 launched a new era: With limited exceptions, people who plan to file for bankruptcy protection must get credit counseling from a government-approved organization within 180 days before they file. They also must complete a debtor education course to have their debts discharged. If you go to one of those credit counseling services, research the company first. Many ARE NOT really non-profit and most are just a waste of time. (see link provided below to find FTC approved agencies), If you can produce additional income and hold a steady course you might be able to avoid filing and see the light at the end of the tunnel. Good luck
Source(s)
www ... I invite you to join the following Yahoo group where you may find information to help you with this situation. finance ...
by Sgt Big Red
2 years ago
Asker's Rating: 
Other Answers
sign up with a credit counceling service- they usually can reduce the ineterest part of the debts- making payments smaller and can consolodate the bills into one payment. good luck
by kimba20136- 2 years ago