Credit Card Debt

[paturner]

Ok so I need some major help! frustrated and feeling defeated....I have approximately $20.000 in credit card debt and my minimuim payments are adding up to around $800 dollar a month. Since these are minimum payments my balances aren't going down much. Im drowing trying to pay these payments every month and my other bills. I don't really know what to do or how to get out of this mess. My score is suffereing  because my utilization is so high so getting other cards are not an option unless would be store cards just to try and raise scores. Because the debt is unsecured probably can't get a consolidation loan. I have a house but don't think a second mortgage is an option at this point and definetly not for that amount. Looking for some help. 

[B335is]

Cut all non-essential expenses;  Cable, gym memberships, going out, eating out, etc...  Shop for lower car insurance.  Reach out to your high interest lenders and ask for an APR reduction. 

[jamesdwi]

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@paturner wrote:

Ok so I need some major help! frustrated and feeling defeated....I have approximately $20.000 in credit card debt and my minimuim payments are adding up to around $800 dollar a month. Since these are minimum payments my balances aren't going down much. Im drowing trying to pay these payments every month and my other bills. I don't really know what to do or how to get out of this mess. My score is suffereing  because my utilization is so high so getting other cards are not an option unless would be store cards just to try and raise scores. Because the debt is unsecured probably can't get a consolidation loan. I have a house but don't think a second mortgage is an option at this point and definetly not for that amount. Looking for some help. 

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focus on the smallest balance card first , when one  of the small balance card is paid it will no longer have a minimum payment you can then move the payment to the another card, some may say go for the card with the highest APR, but paying smallest  first this may free up some cash to go to other cards, and give you a good feeling that you paid off a card. after you have paid off a card or two you may want to move to the card with the highest APR allowing you to save more money. 

You can also sell things that you own, and put the money towards the pay down process, cut costs, create a budget.  

[Anonymous]

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@paturner wrote:

Ok so I need some major help! frustrated and feeling defeated....I have approximately $20.000 in credit card debt and my minimuim payments are adding up to around $800 dollar a month. Since these are minimum payments my balances aren't going down much. Im drowing trying to pay these payments every month and my other bills. I don't really know what to do or how to get out of this mess. My score is suffereing  because my utilization is so high so getting other cards are not an option unless would be store cards just to try and raise scores. Because the debt is unsecured probably can't get a consolidation loan. I have a house but don't think a second mortgage is an option at this point and definetly not for that amount. Looking for some help. 

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Geez, I thought i was in bad shape sending out 2-3k/mo on 9k worth of CC debt.

[leegreen]

Do you have any available credit on a bank card? If so call your highest intrest rate card and ask for a reduction. If they say no do a BT to your available card for about half of the owed balance. Call and ask for the reduction again. If they say no again BT half again and try one more time then BT the rest and SD the card. Keep working until you get all the apr's under at least 15% if not close to 10% then start applying every dime you can find to the highest rate and snowball the debt. It sucks but they can be paid off and read B335's suggestion as well. And if you need any help on that count you can't afford cable or a smartphone and if your not under contract start there.

[subwaysandwich]

File for bankruptcy.

[Involver]

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@subwaysandwich wrote:

File for bankruptcy.

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No.

Don't do this unless you have exhausted absolutely all means necessary.

Have you looked into a Lending Club or Prosper loan to consolidate the balances, or at least some of them?

[subwaysandwich]

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@Involver wrote:

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@subwaysandwich wrote:

File for bankruptcy.

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Yes!

Do this.

And have you looked into a Lending Club or Prosper loan to consolidate the balances, or at least some of them?

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OP is $20,000 in debt and BK is the only option.

[Anonymous]

Depending on your other obligations and take home income, 20k in CC debt is actually surprisingly managable.

More details please, OP.

[paturner]

Yes...I have available credit on several of the cards and at least 4 out of the 13 cards I have....have balances of under $200....with 2 of those being under 100 dollars......I like ur suggestions b/c for me bankruptcy is not an option......I have a brand new house that I've made on time  on pymts for the past 6 years and a nice car that I just paid off....I've been bankrupt 2 times before and although it often seems like the easy way out....it is not....I also like the lending club option .....although my credit now is not great....it hasn't bottomed out completely..... I've also considered putting those smaller balances on some of the other cards but not sure if that would really help.....I've picked up another job but want to know best way to pay off using my money toward principal not interest......also one other thing....I have several cards with same APR......