What should I do in this situation? A little help please <3

[Kasuito39]

Try and contact a local credit union to refinance your rates. There are plenty of credit unions out there that can help you out. This will buy you time to catch up before any late payments kick in. For example CAFCU refinances personal and car loans. Google credit unions anyone can join and start from there. Also, before you apply ask them whether its softpull or hardpull for credit. It'll take some work so dont give up but keep at it. I prefer credit unions over some of the online lenders who have crazy interest for refinacing. Good luck and keep us posted.

[Anonymous]

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@Anonymous wrote:

Asking the group as I don't know the answers:

OP says that at least some minimums won't be met next month or so. 

1) Are there some cards where not paying minimums is going to be less bad (or, the other way around, what should OP make sure gets paid, given the good answer "all of them!" won't fly)

2) Should OP contact some of the lenders before hand and see if they have anything they can allow (defer minimum payment for a month for example) or do you not alert them in advance!

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I would ask card companies for 30  or 60 day deferal and lower apr. What they will do is close the card. When I did foreclosure counciling in 2008/2009  this was one of the first things we had the home owner do along with lowering costs. Results vary from some saying yes to others charge off the debt and starting collections..   While I do value education in person this may be the time to continue working full time and talking classes on line after hours.  

[CBartowski]

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@Anonymous wrote:

Hi guys!   I could really use some friendly help from the community.    <3

Credit SCORES:     Experian:  685    TransUnion: 591     Equifax: 612

**If I payoff debt, my credit scores is awesome, probably 750-800.

Analysis:   0 missed payments, 0 derogatory remarks, all good except 94% debt ratio

GOAL:  Get access to cash to survive and to consolidate debt.  At this moment, I haven't been able to get loans from SOFI (whom I currently have a good standing loan with)

1.  Should I apply for a credit card to lower debt ratio and if so, which one?   I'm thinking a card w/ a balance transfer option.

Then I could pull cash advance from cards that get transferred?

2. Which credit cards are the best options to apply for with these scores?  Ideally, I want a card that pulls from Experian!

After this month, I will no longer have the cash to pay the minimums to cover my debt even.

I need cash to survive + pay minimums  & ideally would like to lower my credit score to get access to debt consolidation loans.

I'm gearing up to get funding for my business in 2-3 months and need to figure out a short-term solution ASAP.   

Thank you so much!    <3 Gratitude <3

Bobby G.

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Hi Bobby,

So after going thru the thread here are my thoughts that may or may not be worth anything:

- I agree with the other posters telling you to avoid adding more debt, it doesn't end well. To that end, lets see if we can free up some cash from your budget (like you said you are already doing). If you are comfortable posting general income/expense numbers for a basic budget I know other members as well as myself might be able to offer guidance on where costs can be cut.

- My first question is how much equity do you have in your car? Could you sell it, not a trade in, (13,500 tells me it's likely not a junker) use some of that cash to pay off your low hanging fruit or the must pays (such as AMEX charge cards, etc) and maybe get a cheaper car while you're working thru this?

-If I had to recommend which debt to focus on first it would be those accounts that don't let you carry a balance (charge cards, etc) and could lead to a deliquency faster. However, I'm sure there are multiple POVs on this. 

-Possibly downgrade the CSR to CSP or regular no AF sapphire to save yourself the extra cash as I imagine making travel points isn't your focus at the moment.

--> If you have any cash back rewards or points that can be converted to cash that could help, I might explore exhausting those.

-I think a lot of other posters are correct as well that potentially a second job would greatly increase your income maybe Uber/Lyft? I dorve for these guys for a while and made some good money if you do it tactically (commute times/weekend bar hoppers) and not just sit on the road for 8 hrs, unless you're in NY/LA/DC or other major city.

Hope this is semi helpful.

[CreditInspired]

@backwoods makes a good point RE: asking lenders for 30-60 day reprieve and requesting a lower APR.

This got me thinking about Chapter 13. Normally, I wouldnt suggest this but sometimes when bills outweigh the ability to pay, one must take drastic solutions to get the problem under control.

OP this is a last resort solution.

I haven’t seen you back on here so even if you’re reading our posts but just not responding to us, it’s ok. We really hope you the best in whatever decision you make.