Credit so bad, it can't be fixed...or can it...?

[Anonymous]

Your post brought me to tears because it's quite similar to my story. You give me hope that there's more opportunities out there other than bankruptcy. I will keep you updated on my journey. Than you so much! I truly and sincerely appreciate you reading my forum and sharing your experience. Feels like a weight has been lifted

[grillandwinemaster]

Hey Brittany, hang in There. Your not bankrupt. Not sure how many hours you work, but at face value it seems like you make enough to claw your way out of this. 

First and foremost, make a budget so you can keep track of your money. Check out Z Dave Ramsey or a similar program. It  will help you claw your way out of your current situation.

Best credit wishes!

[Anonymous]

And remember, it will take time. That is the main thing to remember. Credit can be fixed, it's just a 7yr snap shot. Doing it right for 4 years moves all the bad to back and things really start to look good.

[jbb27885]

Keep your head up Brittany. I'm only 28 and have found myself in a situation similar to yours twice so far in my life. Finally I have said enough is enough and I am working to rebuild and maintain my credit score. The older I'm getting the more I'm realizing that materially speaking less is more. I'd rather have fat pockets and good credit that a bunch of worthless "things". You will recover from this just as I have!

[Dalmus]

And, take another deep breath.  Keep taking them.  Your credit life isn't over.  It just needs to be managed and nursed back to health.

What's really terrible is that more than half of what you have in collectons is due to the activities of *family*.  I'd say small claims court to get the money from your cousin regarding the lease issue, but A) I don't know that he has money, and B) you need to decide if that would be worth the family drama it would create.  Personally, if they were my cousins, I'd be tempted to speak to their parents, or have MY parents speak to their parents.  Might lead to more drama, but maybe some family shaming would get them to cough up the money.  Plus, if they used you that way, even if they are mad at you and don't want anythign to do with you after you make it a Family issue, it doesn't appear to be a relationship worth salvaging.

I may have missed it, but are you working full time at $13.50? If you aren't working full time, then you should search out a part time job somewhere else.  Even if you've only earning minimum wage at the second job, its extra money to give you some relief.

You owe $3,900 on the car... how much is it worth?  Perhaps you can sell it and downsize into a smaller "beater" until you get back on your feet.  It'll suck, BUT, you could save a car payment AND you can reduce your insurance significantly

If you don't mind sharing ALL of your monthly expenses (Rent, current phone bill, car payment, fuel, insurance, groceries, etc) and your monthly take home pay, some of the financial wizards here would be able to suggest some potential plans.  Ultimately, you have to do what's best for you, but its nice to get different opinions.

[Anonymous]

I have tried talking to family. Every single one of them gives me the run around. The mother of my cousin (my aunt) is not a very nice person at all. She is actually the one that is encouraging him not to pay the money he rightfully needs to pay. As far as work, I only work 32 hours a week at Costco. On Sundays we get paid time and a half. So that's around 19-20 an hour on Sundays. So every two weeks, I'm taking home 650-700. My room share is $450 a month. My car payment is $315 a month. Insurance is $145 a month, since I am required to have full coverage. My capital one card is a minimum of $25 a month. And phone bill is $55 per month. Not to mention gas($20 every two weeks) and groceries(never more than $100). My car is a 2006 Honda Civic with currently 117k miles on it.

[Anonymous]

My Transunion score is currently 464

[jbb27885]

How much longer do you have on your car payment? Can you ask for more hours at work? Are you eligible for a promotion or could you get a part time second job for a little while?

[grillandwinemaster]

I've heard driving for uber is a great way to make fast, decent extra money.  

Granted, I've only "heard" this. I haven't done it.

Best credit wishes to you. 

[Anonymous]

Ok, Brit
Im old enough to be your Pops but can tell you for SURE
1) This will pass and be looked back on, as a 'wow, remember when ' in NO Time
2) You are NOWHERE near the 1st nor last person to swim this lap, sweetie you WILL BE FINE

And I'm not just blowing smoke, base upon your concern and desire to get it right shows you're ready and have the will and moral compass to do better and BE BETTER than your cousin and your Aunt.

Next, let's LOOK at your 'debt' ...yes it seems overwhelming because for you at your income and current space those dollars figures seem CRAZY high but in truthfulness

Your overall debt (minus the non Bk-able anyway student loans) are NOWHERE near what a reasonable non-crook (just looking for fees) would advise even considering a Bk...pleeeeeeease!

Most of the stuff listed are in the 100's of dollars range, it is a blessing there aren't more zeros behind your 'mess' like the Navy vet wrote of in this thread (great job, btw from an old Jarhead)

The sting of these items as NEW start to fade as they age, so the thought of whacking your credit for 7 years is outrageous when one considers you can payoff some of this crap now and as others age the offers to settle and pay less for delete will SURELY come prior to taking a 7 year over the dollar amounts listed.

As, I mentioned I highly doubt a component federal judge would even be comfortable signing off on an actual BK for such small, in the scheme of things amount of debt because it's too huge a step, you gotta hold that bullet I'm the chamber for a bigger deal sweetheart...trust me.

The car, which your driving is by far your biggest current debt and yes it's too high for you right now cause with the insurance it's too much of your income and in your current state a refi ain't gonna happen

But the good news is that car note has a PAYOFF date, sweetheart it won't be forever and you've got a Honda that you can drive to the wheels fall off.

You instantly have 100s of dollars a month once that car is paid (and that's extra money down the line AFTER, we take some today actions, I'll mention later)
That should be encouraging, it's built in with that car note out of the way you could easily knock off those small bumps in the road, other than the $1600 for the apartment complex (which some DC will negotiate)

Again head up, and be thankful the so N so cousin only left you with that much vs a full on eviction in your name thank goodness for small wonders😃

Randomly
Have you looked into the barest bone cheapest insurance you can get away with for your 10 y.o. car
As an agent I know you must maintain full coverage due to it being financed but it doesn't have to be a well known higher priced carrier, remember if anything happens their gonna total that old car on you anyway, so CHEAP is your best option right now.

Have you run a new quote since reaching the age of 25 are you near 26 (it can make a decent difference) even $50 bucks brings you $600 new dollars outta nowhere.

Also, we have to see life like our forefathers who CREATED work for themselves being locksmiths, blacksmiths, tailors, pie sellers... whatever

Point being your a young person with a reliable gas friendly car, with only 32 non touchable hours

Someone mentioned Uber... Don't know about that but I do know you can run errands for Seniors, as in grocery shopping bank and dr.appt runs dog walks vet visits etc....there are ways to Create some cash flow

No way you can't make a few 100 extra bucks every month again who've got YOUTH and a cheap on gas small reliable car and TIME on your side...

Did I mention baby sitting, house sitting, house cleaning, tutoring kids, helping a English as second language person...hey you're smarter than the 4th grader right and know English, you speak it, correct (You're in TX for Pete/Pedro sake)

All I'm saying is you've got a cell phone (or get a Google voice and roll it over for privacy) a car, time and desire...all you need now is Kinko's to make some flyers to pass out put up, visit some churches, senior communities etc and you will get clients (tougher for a 25 y.o. male but a young lady.. piece if cake)

You could have those numbers leisurely knocked out by Santa's 2017 rum😃

Also once you get any money open a small CC account that can be aging as you are digging out, that way you'll also have a few aged positive accounts building depth as time burns the other end of the negatives affect weakening

24-36 months from now you'll be over the moon
I always tell ppl real adult life doesn't start till 26, so your at the beginning....well before 30 these non sense could just be one bad detour

Best of luck
If you need help or advice please PM me
but 10-15 hours a week worth of PAID service work
will have you dancing in the street in no time
Ans or get that car note to disappear

Think what just $300-$500 extra 'side hustle' bucks does to your life right now and get it done😃