Debt Consolidation

[hpertrain]

Hi-   has anyone ever heard of Priority Plus Financial out of California?    I have a heavy debt load with CC's and personal loans.

They are saying that they can get the loans to a 0% interest with my creditors and that I pay $600 per month put in a escrow

account that is used toward the debts. I'm paying at least $2K per month right now and they claim with the $600 I should be

done within a 48 month period. If I pay on top of that $600 then even sooner.   Too good to be true? Sound legit? 

[Cowboys4Life]

WAY too good to be true.  This NEVER works.  They will default on your payments and if/when you get sued by your creditors they will disappear.  Most of the money will line their pockets in their fees.  NO creditor is going to just drop your interest to 0% while they wait for you to build an alleged escrow account and pay them off.  The defaults they do will KILL your credit for years to come not to mention any judgments you get hit with.  You can negotiate discounts and reduced interest yourself with your creditors (not on loans you contractually agreed to) and get the same results with far less damage.  DO NOT do debt consolidation this way.

[hpertrain]

I understand what you're saying.  However how am I to ever get out of this debt load?  Nobody is going to "loan" me a "debt

consolidation" loan. I have no intention of filing BK.  It seems I'll just be paying this $2K + per month to eventually get out of

this. I take full responsibilty as I took on the debt load. 

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@Cowboys4Life wrote:

WAY too good to be true.  This NEVER works.  They will default on your payments and if/when you get sued by your creditors they will disappear.  Most of the money will line their pockets in their fees.  NO creditor is going to just drop your interest to 0% while they wait for you to build an alleged escrow account and pay them off.  The defaults they do will KILL your credit for years to come not to mention any judgments you get hit with.  You can negotiate discounts and reduced interest yourself with your creditors (not on loans you contractually agreed to) and get the same results with far less damage.  DO NOT do debt consolidation this way.

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[Jnbmom]

@hpertrain 

How much debt are we talking about ? If you could list the amounts and the interest rates are you current on them?

Many times you just have to learn how to live with bare minimums, get a second job try to make some extra cash. If you have done all this BK is not the end of the world. But until we know how much debt you are talking about it's hard to advise one way or another.

[hpertrain]

I'm currently at around $45K in debt. CC's and some personal loans ranging from 18-36 + % interest.

If this company is not legit then I'll just plug along as I'm not going BK at this stage of my life.  I'm meeting

the payments but all that keeps my score low is the heavy amount of debt balances.

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@Jnbmom wrote:

@hpertrain 

How much debt are we talking about ? If you could list the amounts and the interest rates are you current on them?

Many times you just have to learn how to live with bare minimums, get a second job try to make some extra cash. If you have done all this BK is not the end of the world. But until we know how much debt you are talking about it's hard to advise one way or another.

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[Jnbmom]

@hpertrain 

You stated you pay 2K a month are these just the minimum payments or are you trying to snowball your debt ?

[hpertrain]

$2,000 is a little over the minimum payments.  It's quite an excessive amount which is why

I had just one payment to make.

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@Jnbmom wrote:

@hpertrain 

You stated you pay 2K a month are these just the minimum payments or are you trying to snowball your debt ?

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[OmarGB9]

Is there a way you can pay more towards your debts? If BK isn't an option, then maybe getting a second job, cutting down on living expenses, selling assets, etc. Because if you're only paying minimum or a little over minimum, it'll take you quite a while to pay off your debts. Definitely try the suggestion above to call your creditors and ask for temporary APR reductions.

[RSX]

for full help, post your outstanding balances by company - the total CL on each - the APR - the monthly minimum payment

then we can suggest a good path for you