debt settlement

**themarmot** · 09-12-2008, 01:31 AM

can anyone recomend a good debt settlement co.or one to stay away from. i will be needing one shortly.

**Greebo** · 09-12-2008, 01:53 PM

If I had any belief that there were "GOOD" debt settlement companies out there, I'd recommend one. Most, however, are scams. They can't do a damn thing for you that you can't do for yourself, for free or dirt cheap.

If you can shed more light on your situation, we might be able to offer more meaningful help and advice.

**Michelle68** · 09-12-2008, 11:21 PM

Be very careful of these companies. Many have been investigated and found to be fraudulent by many states.

--Michelle

**themarmot** · 10-06-2008, 01:47 AM

wrecked my motorcycle on 6-23-08 wont be back to work till 12-01-08 havnt paid any of my credit cards (9 of them ) since july and all of them are probably going into collections buy now. i explained my situation to my card companys and they could care less.

**Greebo** · 10-06-2008, 06:52 AM

The debt settlement companies couldn't care less. They just want your money.

Listen, none of them can do anything for you that you can't do yourself. You're right, the CC's don't care about your situation, but that's too bad for them. You can't pay them right now, so just DONT pay them right now. Pay them back when you can, not when they pressure you to. They'll yell and scream and cuss and call you names and insult your mother, but that's all just tactics to pressure you into paying them.

Do you owe them? Yes - but they're going to have to wait, and you don't have to talk to them beyond saying, "No, I can't pay this month, I'm sorry, when I can, I will, so don't bother calling me again this month."

**cheles2kids** · 10-06-2008, 07:34 AM

I've used the Consumer Credit Counseling Service before, but it was years ago.
They are a non-profit service and they helped us considerably.

But yes, please, please, please be very careful of those companies who charge fees and such.

Greebo gave good advice above, so just slow down, think things through rationally and research, research, research before using one of these types of programs.

I'm so sorry to hear about your accident and loss of income, I can't begin to imagine how stressful things are for you right now.

**Cricketlegs** · 10-06-2008, 11:01 AM

By the time you are able to get back to work your bills will be so late the damage will done.

So I would take a deep breath.

Write out all my bills and all my debt.

And sit on it until you are back to work and just start to pay them in the Dave Ramsay snowball plan.

Do you have any money coming in at all? Are you comfortable with posting a more complete breakdown of your situation. We can often point out a plan of action.

Good luck and I am glad you are okay after your accident.

**itlw8** · 10-06-2008, 11:26 AM

some things you just have to pay first

mortage, car, car ins and utilities Then the unsecured CC

It will all work out in the end.

**lilac_city_mommy** · 10-07-2008, 02:38 PM

I went through a similar situation last year. Had to leave work due to a high-risk pregnancy, when my FMLA ran out, I was out of a job. I have about 10 credit cards that I have not made a payment on since May '07.

We called initially and tried to get them to work with us and got nowhere.

We called after two months of non-payment and again, got nowhere.

After four to six months, all were charged off and sold to various collections agencies.

Now, a year and a half since our last payment, we still haven't had a single one file for garnishment, and they are offering us settlements. Most run in the neighborhood of 50-60% of what we owe, but some have been as low as 15%.

This is exactly what most "debt relief" agencies will do for you. They will hold your money and not make payments until your creditors think they can't get anything out of you. The agency will then settle and make payment plans and start paying out oh so slowly, but only after taking their cut of the money you've been paying them all along.

If you can't pay, don't pay. If you can pay some, then pay that. Otherwise just ride out the storm until you can get back to work, then start trying to work with your creditors.

Just wanted to add that depending on your state, you may be able to file non-contact requests with your creditors. We did this and stopped collections calls entirely. They only contact us by mail now.

**themarmot** · 10-09-2008, 01:19 AM

thanks for all the advice from all of you, for the last 20 years my credit cards got fat of the interest i paid them yet they show no" interest" in or concern in my present situation.funny huh?

**lilac_city_mommy** · 10-10-2008, 10:39 PM

So true, huh?

When we made our first round phone calls, we actually had one credit card company tell us they wouldn't even think about adjusting things as long as we were current. She actually said if they thought we would pay they'd never give us a lower rate.