I have $10,500 in credit card debt at 29% interest.
I also have a $24,000 car loan at 8% interest, with payments of $441 a month.
My car insurance costs $306 a month.
I have student loans, but my parents handle those because they paid for my siblings.
I spend $280 a month on gas and about $200 on random expenses.
I’m not sure how much I spend on groceries.
My yearly income is $65,500.
Here are my minimum payments:
- Upgrade card 1: $42 (balance: $1,000)
- Upgrade card 2: $210 (balance: $4,500)
- Capital One: $36 (balance: $1,000)
- Merrick Bank: $80 (balance: $2,000)
- Discover: about $30 (balance: $1,000)
I also have items I pawned, totaling about $700, with small interest payments every 3 months.
I’m really struggling with this. My sister used Consumer Debt Counselors, Inc. to consolidate her debt. I’ve read a lot about debt management and negotiation, but it seems like they either make you go late on payments, which hurts your credit, or they wait for it to go to collections. Some charge high fees for lower interest rates. My car loan isn’t my main worry. I don’t pay rent, but I’ll soon need to chip in around $300 for utilities. Consolidation loans haven’t been approved for me.
What options do I have? I really appreciate your help.
Acquire a card with a 0% balance transfer. For 18 months, as you pay it off, you can transfer the balance at a rate of 3% and free up funds.
If you don’t claim any dependents, 65k a year after taxes is equivalent to roughly 95k to 100k before taxes. It comes to between $45 and $49 an hour. Are you the maker of this? If so, something doesn’t seem to add up.
Even after accounting for $300 in food each month, $2,925 remains unaccounted for. Where does this money end up?
Attempt to eliminate the $1,000 cards initially. Afterwards, pay off the $2K and $4.5K with the money you were spending on the $1000 cards.
Honestly, I’m about to quit an addiction, along with cutting out takeout and sports betting. That’s where the rest of my money is going. My boyfriend covers the rent, and I pay for the other expenses. I’m quitting this weekend because I can’t afford it anymore. It’s not hard drugs, just a costly legal habit I picked up in college. I need to finish my last year so I can go for my MBA, but I don’t want to take on more loans or credit card debt until I’ve paid some of this off. Yes, that’s what I make. I work two salaried jobs. I’ll take your advice. I never did the math to see how much was unaccounted for. Now I get why my mom thinks something’s off. I really appreciate your help.
My partner has a gambling addiction on sports. It’s become so terrible that I’m in the process of breaking up with him because I owe him money. Please give up . It is a true addiction, just as harmful as drug addiction. I’ve personally witnessed both addictions.
I concur that it’s awful. I don’t do anything; I don’t drink or smoke. I’m worn out from working two jobs, one of which requires heavy lifting. I was too exhausted to worry about anything else, so it was all I looked forward to. However, I’ve learnt my lesson, which is why I’m attempting to improve my circumstances here. I’m eager to put money aside and return to my previous situation. I appreciate you telling me that. I wish you rediscover happiness!
Depending on how frequently you drive, you can attempt pay per mile insurance. For example, driving 20 miles a day earns me about 70 per month.
You can report hardship by giving the credit card issuers a call on your own. Most will cooperate with you, for example, by lowering or removing interest entirely. Without paying their fees, you receive the same benefits as working with a credit consolidation or financial relief company. One is that my score increased despite not even reporting it to the credit bureaus.
You can report hardship by giving the credit card issuers a call on your own. Most will cooperate with you, for example, by lowering or removing interest entirely. Without paying their fees, you receive the same benefits as working with a credit consolidation or financial relief company. One is that my score increased despite not even reporting it to the credit bureaus.