Credit card debt consolidation company. Who is legitimate?

I ran out of cash meeting uninsured broken arm surgury, then started using credit cards. Did the low rate transfers and all that stuff. Now back to work, but could not make payments last few months. Hounded by their phone calls all the time. Have not answered their calls. But I am now working again and can start making payments. I am ready to contact the credit card companys. Before I do, I would welcome any advise (or benefactors, Ha,Ha). Totally, by rough calculations I owe about $80,000.

As an after thought, I am aware there were changes in the bankruptcy laws but do not know the specifics. Is bankruptcy a good option. Basically I have zero assets, no real property.

In closing, who is a reputable debt consolidation company, is bankruptcy a viable alternative, or is their an an alternative I do not know of? Thank you for your advise.

P.S.

Spend $10 for a non-slip pad for your bathtub. Money well spent !

Credit card debt consolidation company. Who is legitimate?

http://www.debtadvice.org/ has an online lookup for legitimate credit counselors. Look for an organization that will look at your situation in detail, instead of producing a cookie-cutter plan.

The new bankruptcy laws have made it more difficult to qualify for Chapter 7, or the kind that releases you from all of your debts. Here%26#039;s an article with more details: http://www.nolo.com/article.cfm/objectId... A bankruptcy stays on your credit reports for seven years, so it should be your last resort. See what a credit counselor says first.

Good luck!

Credit card debt consolidation company. Who is legitimate?

Be VERY careful in dealing with any debt consolidation company....many are predators looking to take easy advantage of people like yourself who are having financial difficulties.

A debt consolidation company can%26#039;t do anything that you cannot do yourself. Once credit card accounts become very late....such as five to six months late....It can be possible to offer a settlement in the 50% range. You don%26#039;t need to hire a debt settlement firm to arrange such a deal. Many card firms will accept settlements at 50% as opposed to loosing everything if the customer file for bankruptcy.

Most...but not all card companies would be expected to accept such an offer....but not all....so be careful. Some might not respond well to such an offer and they might decide to sue. Note: The IRS considers forgiven debt to be the same as earned income, so whatever debt you manage to get forgiven in any settlement will have to be added to your next year%26#039;s adjusted gross income....So if you managed to get a 50% settlement ($40K)...you%26#039;d have to add $40 to your next year%26#039;s income and pay whatever additional taxes on that amount.

If you take the settlement route: Get any and all terms IN WRITING FIRST. Never make such offers verbally over the phone without written documentation.

With this level of debt I wouldn%26#039;t bother with Consumer Credit Counseling Services (CCCS)....the best they can do is lower the interest rate...They do not negotiate debt settlements...Note: They are partially funded by the credit card industry.

Regarding Bankruptcy: This level of debt is high....but I don%26#039;t know the circumstances regarding your income. If your income is not high, filing for bankruptcy should be on option on your table.

IMPORTANT: DO NOT let anyone on the board (or elsewhere) try to guilt-trip you into not filing for bankruptcy if you need to do this. Corporate America uses bankruptcy all the time without people accusing them of not paying their bills...

Filling for bankruptcy does NOT stay on your credit report forever...it stays for ten years....It will not destroy your credit forever....It%26#039;s very possible to get back into the mid-600 credit score just two years after filing for BK.

It doesn%26#039;t cost anything to have a consultation for bankruptcy....You have to pass a means test to qualify for Chapter 7...so the consultation will clarify that issue.

Credit card debt consolidation company. Who is legitimate?

With new credit consolidation companies popping up everyt dat it%26#039;s hard to tell which ones are legitimate! I used debt solutions, but you still need to get a few things straight before you proceed. This is a long answer and I can%26#039;t post it all here.

I went through an ID theft and bankruptcy and still got my score up from a 486 to 730 in a little over a year, so this is an area I%26#039;ve had experience with!

I%26#039;d direct you to my website at this point. I uncover the most often used scams in debt consolidation as well as ways to improve your credit, bankruptcy options, consolidation loans and how to go about challenging and removing negative items from your credit reports!

Thanks for the advice about the non-skid bathmat! I don%26#039;t have one now and I almost fell in the tub last night as a matter of fact! Good luck to you and happy holidays!

Duane

Credit card debt consolidation company. Who is legitimate?

Bankruptcy is a process that will help you if you have more debts than you can pay. To declare bankruptcy, you need to file legal papers with the Bankruptcy Court. You are required to list all your debts and property on the petition. After you file for bankruptcy, your creditors won閳ユ獩 be able to collect from you directly. While bankruptcy can be a good decision in some cases, not everybody who faces financial difficulty should file for bankruptcy.

Should you declare bankruptcy?

Bankruptcy makes it possible to:

Give you a fresh financial start by erasing certain debts. This means you are not legally required to pay those debts.

Stop most wage attachments from your pay. Creditor can閳ユ獩 discount your wage to repay the loan.

Creditors and debt collectors can閳ユ獩 bother you

Other alternatives than declaring bankruptcy:

Financial Management

Simply exercise tight financial management until your financial health is restored. This is easier said than done especially if you have a large debt and unable to work.

Talk to your creditors

Some creditors will waive certain part of your debt or even waive the interest of your debt, provided that you agree to make payment to them. They will agree to do this because they know that some debts are hard to collect and they are better off negotiating this deal with you rather than taking it to the court.

Refinancing

If you own a home, and have some equity in the home, consider refinancing your home to pay off all of your high interest debt. You may be able to obtain long-term financing at a much lower interest rate, allowing you to consolidate your debts.

Please be careful when dealing with companies which offer to consolidate all of your debts into a single low payment loan. Some of these companies collect large sum of fees while they are offering a consolidation loan package to you. Sometimes the package is lousier than bank or credit union.