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Regular Contributor
JAMMY
Posts: 128
Registered: ‎05-27-2007

Getting behind on CC

Hey everyone I am falling behind on my CC.  I have several that have very high payments and we are just broke right now.  I am struggling to find money for my mortgage. I don't want to have to file a chapter 13, but I may have no choice.  I want to try everything I can in order not to have to do that.  Are the CCC willing to work with you and what do they do to help you get caught up and not to ruin your credit.  Anyone have any expierence with this and what creditors are the most willing to help you?
 
Thanks
Starting Score 563 10/2/11
Current Score 585 12/30/11
Goal 700
Contributor
_andClimbing
Posts: 101
Registered: ‎06-05-2008

Re: Getting behind on CC

I was in this position last year when I lost my job. I called all of my creditors - CCs AND auto loans - and explained my situation. I told them I was struggling to keep up with payments, expected to be employed again within 90 days, etc - the whole story. Many of them worked with me. Auto loans agreed to defer payments (one month on each of 2 loans), some CCs put me on reduced minimum payment plans for 4 to 6 months. When I called, I made it clear that I wanted to remain in good standing and simply asked what options I had. I had to close my HSBC plat as a condition of the payment plan, but others just suspended my charging privileges until I was out of the payment plan.

When all was said and done, I had caught up financially, resumed my regular monthly payments, and the CCs & auto lenders reported on-time payments for me each month to the CRAs. The first thing I tell any friend when they are struggling is CALL YOUR CREDITORS. They want their money, or at least want to know when they are going to get it. If you tell them BEFORE you get in to trouble, they are (often) more willing to work with you.

Hang in there, and good luck.
5/11/08 FICOs: EQ - 551
8/6/08 FICOs: EQ - 659, EX - 663, TU - 683
Regular Contributor
JAMMY
Posts: 128
Registered: ‎05-27-2007

Re: Getting behind on CC

Thanks, were there any that just weren't willing to help out and which ones seemed the most willing?
 
Thanks
Starting Score 563 10/2/11
Current Score 585 12/30/11
Goal 700
Contributor
_andClimbing
Posts: 101
Registered: ‎06-05-2008

Re: Getting behind on CC

Applied Bank and Merrick Bank put me into a hardship program - reduced monthly payment. Applied temp. reduced my APR as well. Merrick rate jacked me to 35%. Accounts remained open but suspended privileges. Restored my privileges after I completed the programs.

Sam's Club closed my account, reduced my APR, but re-opened my account and gave me a CLI after I paid the balance in full.

HSBC closed my account, reduced my monthly payment by half and reduced APR for 6 months. Reverted to 15.9% APR after 6 months, but account remains closed (still paying monthly on balance).

Cap One and Orchard Bank - my minimum payments were dropped to $20 on each for about 4 months (which wasn't much less than they were @ about $40 each).

GEMB was not willing to work with me.

Cap One Auto and Americredit (auto loans) each deferred a payment for me.

That's all the info I can find from my records. Hope it helps.
5/11/08 FICOs: EQ - 551
8/6/08 FICOs: EQ - 659, EX - 663, TU - 683
Established Member
Verde
Posts: 43
Registered: ‎04-14-2007

Re: Getting behind on CC

What about payment protection plan? Most ccs offer it and if you lose your job or have any other major complication in your life they will suspend payments for up to 6 months if i am not mistaken.
Moderator Emerita
Community Leader
Epic Contributor
haulingthescoreup
Posts: 28,115
Registered: ‎04-01-2007

Re: Getting behind on CC



Verde wrote:
What about payment protection plan? Most ccs offer it and if you lose your job or have any other major complication in your life they will suspend payments for up to 6 months if i am not mistaken.


You have to watch out with these things. We've had a few members here who tried to use theirs, and the CCC said they weren't covered. For anyone thinking of them, you'd do better just to put the premiums in a savings account and use the money for a rainy day.
* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
New Member
JTReserve
Posts: 4
Registered: ‎08-27-2008

Re: Getting behind on CC

My advice would be to watch out with GE.  When I was on medical leave two years ago, I was about 90 days late with a payment and I was contacted by an attorney even though I had let the CC know what the issues were.  I was able to pay them in full and avoid further problems, but just an FYI......
Mega Contributor
Creditaddict
Posts: 18,855
Registered: ‎10-23-2007

Re: Getting behind on CC

Citi has a 12 month payment plan program that is usually 0% or like 2% interest and reduced payments, but they do set up auto debits for the payments from your checking account for these 12 months.
I had called citi before i went late and they told me no options, just pay.
once I missed a payment, they were very quick to work with me, and nothing bad reported to credit.
Fico Scores: EQ 639 Navy, TU 665 GE, EX 677 Prosper (07-09-14)
You will have to put up Electric Fence to keep me in the garden!
Highest Limit: Fidelity Amex $25k (AU)
Lowest Limit: Buckle $250
Over 30 Cards in between :smileytongue:
New Contributor
DuckHunter
Posts: 85
Registered: ‎06-18-2007

Re: Getting behind on CC

Do the ccc report you as "on pymt plan, or suspended"?  Also, did the other ccc's increase your apr because of being late?  As always, thank you all for the help!

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