GE has several payment assistance plans... If you pay, they will not hurt your credit and if you are barely hanging on now or falling behind if anything they might help your credit because you will hopefully be able to make the payments and there for keep it current for credit reporting and start to slowly pay it down because it's low interest and it's closed so you can't charge.
If you want to stay current but can't really on your own, call and see what options you have... GE uses a computer system so you can get different answers each month (each statement that is... if you are currently less than 30 days behind and next week you are 31 days behind the offer might change) the reps have to ask you questions that may seem silly or repeated, they are simply clicking boxes on the computer so make it simple... give them short direct answers... they could care less (okay, they might care about you and the situation but they can't do anything outside the computer)
income coming in (make it simple) I'll use examples --- you can't come out negative!!!!
income - $1000
Rent - $600
Car - $200
Util. $50
anything else or other credit - SIMPLE $50 don't start listing them all
student loans
etc. money...
if you come out around 100-200 left - great
i know it seems silly but you come to a negative number and it will not give you a deal... it says your negative, you won't be able to make the payments, so why put you in it.
what you paying now (if you paid min?) $100? they will ask how much you could pay (say $25) the system will generate the number regardless of what you say!
if you get offered plan which clearly you will/are because they sent letter... you might get 12 months of payments at $28/month with reduced interest to 9.9% and probably will offer something with interest kickback or something... each payment on time they will give you a percentage of payment or interest paid... if you can only make the new payment minimum then you won't get much of this bonus but if you get a few months down the road and can start paying bigger then it's free money basically back towards your balance by making larger payments.
the account will report on time payments if you make the payments in the plan, they also do not close the account out on your credit even though they do close it out... so until it reaches a $0 balance they still report it open even though it's closed so you don't get the huge score ding for a closed account with balance.
any questions? yes ive gone through this with GE and target! (well lots of banks actually! lol) sorry you find yourself in this place but you have some options to save your credit and pay all the debt if you take it.
