I owe about $12,000 across 11 credit cards, and I can’t even afford the minimum payments anymore. What can I do to fix this?
That’s exactly what credit card companies are hoping for. They make most of their money from interest when people can’t pay off their balance.
Try to increase your income, cut your spending, and create a solid budget.
You’re not alone. Millions of Americans are in the same situation right now. The high interest rates are what’s really hurting people.
Consider getting a side hustle to pay off a few cards. Reducing the number of payments you have to make can help a lot.
Farrell said:
Consider getting a side hustle to pay off a few cards. Reducing the number of payments you have to make can help a lot.
Totally agree. A second job could help. Start with the smallest balance, pay it off, then use that money to tackle the next card. It’s tough, but it works if you stay consistent.
Look into loan consolidation. The monthly payments and interest rates could be lower than what you’re dealing with now.
Vince said:
Look into loan consolidation. The monthly payments and interest rates could be lower than what you’re dealing with now.
If your credit score is decent, try reaching out to SoFi. They might be able to help.
Check out the snowball or avalanche methods for paying off debt. Both are effective in their own way, and you can definitely do this!
Try InCharge Debt Management. They’re a nonprofit, and I’ve had a good experience working with them. They’ve been very helpful.
Luca said:
Try InCharge Debt Management. They’re a nonprofit, and I’ve had a good experience working with them. They’ve been very helpful.
Do they charge a fee? I reached out to a nonprofit once, and they wanted 20% of the total debt, which seemed really high.
If you can’t pay, don’t panic. You won’t go to jail, but make sure you respond to any lawsuits. Ignoring them can lead to wage garnishment or your accounts being frozen. A lot of times, you can negotiate to settle for less than you owe.
@Parker
I’m dealing with something similar. My son was diagnosed with a brain tumor, and I stopped working for six months. I’ve been served by one bank and owe about $85k in total. Should I try to negotiate with them or file for bankruptcy? I don’t know what’s best.
@Merritt
You might find this video helpful: Credmax Meta. It offers practical tips on dealing with creditors when money is tight.
Rowe said:
@Merritt
You might find this video helpful: Credmax Meta. It offers practical tips on dealing with creditors when money is tight.
Thank you for sharing this! I’ll definitely check it out.
Schedule a free consultation with a nonprofit debt counselor like NFCC. They can often negotiate zero interest rates and set up a plan to get you out of debt.
Start by canceling most of your cards—keep one or two for emergencies. Call your creditors to negotiate lower interest rates or a manageable payment plan. Reduce non-essential spending and pick up a second job if possible. It’s tough, but you can get through this.
Lock up all your cards so you can’t use them. Sell things you don’t need anymore and use the money to pay down your balances.
If you can, take on a part-time job and use the extra income to pay down your smallest balance first. Once it’s paid off, roll that money into the next card. If the interest rates are high, start with the card that’s costing you the most in interest. Either approach works—it just depends on your situation.
Contact your credit card companies and ask if they offer hardship programs. Some will lock the card and give you a low or zero-interest payment plan to help you pay it off over time.