Could someone please assist me? I have four cards totaling about $9300, although the total was higher since I paid down a car loan for $9500. My monthly income is $3,500 before taxes, and I have two kids, a girlfriend, and an apartment. My costs almost equal my income, so I’m not sure what to do. All of this occurred about a year ago. I had moved and quit my job when I was pregnant, and I had over $20,000 in debt free. I took everything out and put it toward the debt; today, I have nothing and can only pay the minimum amount due on each card.
• Consolidate $10k in credit card debt into one loan. Payments could be around $200. You can check CreditKarma for instant offers.
• Consider refinancing your car loan. A $10k car loan at an 11% interest rate would have a payment of about $200. You might be able to get a better rate. Once the car is paid off, you can switch to liability insurance, which could save you money. Paying it off with a personal loan could free up extra cash once you own the title. Keep your car title safe and don’t give it to anyone.
• Look for a weekend job, like delivering pizzas at night or doing Uber Eats on the side.
• Stop eating out someone has to cook. Eggs from the store and canned black beans can make a meal.
• Consider food banks or charities. When my family was struggling, my mom would go to a church that gave out food donated by local grocery stores. We were embarrassed as kids, but I’m now so thankful for her sacrifices.
When my dad lost his job, we had tough times. First, we lost gas service, so we heated water on the stove for baths. Then the electricity went out, and we cooked eggs in the fireplace.
You have income, and soon you’ll have more. Everything will work out.
I’ve seen those on Credit Karma, but they want me to put my auto loan which has an interest rate of about 26% as collateral. I pay $190 per month, or 6.9 percent, interest on my auto loan. I’ve applied for several $10,000 loans, but I keep being turned down.
• Consolidate $10k in credit card debt into one loan. Payments could be around $200. You can check CreditKarma for instant offers.
• Consider refinancing your car loan. A $10k car loan at an 11% interest rate would have a payment of about $200. You might be able to get a better rate. Once the car is paid off, you can switch to liability insurance, which could save you money. Paying it off with a personal loan could free up extra cash once you own the title. Keep your car title safe and don’t give it to anyone.
• Look for a weekend job, like delivering pizzas at night or doing Uber Eats on the side.
• Stop eating out someone has to cook. Eggs from the store and canned black beans can make a meal.
• Consider food banks or charities. When my family was struggling, my mom would go to a church that gave out food donated by local grocery stores. We were embarrassed as kids, but I’m now so thankful for her sacrifices.
When my dad lost his job, we had tough times. First, we lost gas service, so we heated water on the stove for baths. Then the electricity went out, and we cooked eggs in the fireplace.
You have income, and soon you’ll have more. Everything will work out.
Where will your earnings go?
Could you explain it in simpler terms? Rent, groceries, loans, phone bills (buy a cheap phone, such a US mobile for $17.50), bills, eating out, subscriptions, and non-essentials.
Make a side gig. Look for a side project you and your girlfriend can work on together. One example would be scheduling appointments. That doesn’t need any initial funding.
Get a credit union bank account; I can frequently move balances from higher rate credit cards to my account for free. My payment terms are interest-free for eighteen months, with 8% interest on charges.
We must begin to distinguish between needs and wants.
As an illustration, you WANT a Starbucks coffee you don’t NEED one.
Money is wasted on wants by a great number of people who are unaware that they are not necessary.
To observe where your money is going, also track every penny you spend for a month by writing it down. Next, consider where you may make savings in your spending. First, use that extra money to settle the minor amounts on your credit card.
What is the worth of the car? There is still $5,000 left on the loan, but if it were worth $20,000, I would sell it, find a used Honda or Toyota for $5,000 to last you about a year, and apply the $5,000 difference against some of the debt. If not, getting a new or different employment is the only viable solution. Even in the Aa LCOL area, $3k per month before taxes comes to $36,000 annually, which is quite little. I’m not sure where it is, but it appears that your income is the main problem. Not much space to move around, but I wish there was more wiggle room to work with.