Help! Some details: Debt is through: Amex $11k Citi $7k Discover $10k Income is $18.25/hr, working 45hr/week (those 5 hours over 40 are x1.5 pay) Send 10% of income pretax to 401k Pay for insurances ($39.35/week) Have a loan I pay already for $14.68/week (from my 401k that i pay back to myself at 2% interest) Also pay $75.23 weekly for auto loan (5/7 years paid, will be done in 23 months). Mortgage and HOA/POA/Mortgage Insurance at $217.12/week. I drive to work 45 miles/day and take a toll road that costs about $3/day Gas is about $20/week Cell phone bill is $25/month Internet is $40/month Electric is $90/month. Car insurance is $111.14/month
Doing that math, I’m sitting around $840/month to spend on food/random expenses and then my current credit card bills (~$650/month to meet MINIMUM payments) Interest rates vary from 17%-24%. I’m barely seeing a dent and sometimes have to charge anyway as living on less than $200/month for food and random expenses I may have forgotten come up isn’t easy.
I recently called Credit9 and set up a deal with them and Americor to do ‘no interest’ for 1 year and pay only $495/month and then do a loan for the remaining (which would be around $20k at that point at 24% interest, but it isn’t compounding like the credit cards). They didn’t mention that the whole thing would be that I would be delinquent and then they’d negotiate my debt to about 50% of what is owed and take a 22% cut so I’d still pay 72% but without that compounding interest.
I think that’s the facts that I have. I believe I can still cancel this as they haven’t dont anything for me, but not sure I should as this may be my best option. Just looking for some advice.
Edit: I’m posting this a bit late at night so if there’s any questions you have for me to better understand/help my situation and i don’t respond promptly, I’ll gladly respond later :)
Submitted December 29, 2020 at 12:05AM by Jermika https://ift.tt/3rCz1wo
