Is it even worth it to continue paying your credit cards on time if you’re in my situation? HELP!

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Ok, so I have posted several questions in regards to my credit card debt and am still very unsure of what direction to take…I have about $ 30,000 in CC debt with two companies..Citi & Chase…recently Bank of America closed my $ 11,000 and $ 5,500 credit lines that I had..their reason was due to being maxed out on my other CC’s, although I have never been late on a single payment for ANY of my debts including mortgage and car payments . So at this point I have a pretty foul attitude b/c to my understanding creditors issue you credit so you will use it and of course repay the debt back..which I do on a monthly basis…so now apparently my existing debt is having an adverse affect on my credit and preventing me from obtaining or even keeping any additional credit so therefore I am questioning wether or not it’s even worth it to keep paying my monthly CC payments which total over $ 600. Nobody will give me a credit line or loan large enough to consolidate my bills and I am a homeowner but don’t have equity…so is CCCS or bankruptcy the best avenue for me?
I appreciate the good honest answers however I must clarify that my CC usage is not me leaving above my means using them to buy luxuary items…last year I divorced and became a single parent and also was not working for a period of time. Therefore, my CC’s were my lifeline to pay my child support, mortgage and several bills including CC bills itself. I figured I’d be better to usage up my avail. credit and atleast pay on time than to default..now I see where CCCS is probably the best action I need to take. How long is CCCS for and do they allow you to leave the program at anytime? Also can CCCS negotiate a lower payment on my car loan?

9 Comments
  1. Reply
    Real Estate Guy
    January 24, 2011 at 5:13 pm

    I’m sorry to say this, but you are a mess. You are blaming everyone but yourself for your problems (and not it’s not witchcraft).

    YOu need to cut back spending TODAY. And find a part time job to get this under control.

  2. Reply
    MSAD
    January 24, 2011 at 5:25 pm

    I don’t think a bankruptcy will improve your situation. Right now your just over extended. You file bankruptcy and you become someone who was over extended and then refused to honor their obligations.

    I you have not already – I highly encourage you to check out Dave Ramsey. He has a web site, radio show and several books. Lots of people have used his method to get out of the kind of debt you are in.

    He gives you a strategy for dealing with your debt.

    http://www.daveramsey.com

  3. Reply
    Debt B
    January 24, 2011 at 5:35 pm

    Have you considered using a debt negotiation company? That could be an option as well. You will have to do your homework on this before you play your cards.

  4. Reply
    wicket351
    January 24, 2011 at 6:30 pm

    why would you want t go into debt even more ? seem you are living beyond your means, you spent the money now its time to pay up .pay off the debt and your credit will improve.

  5. Reply
    Dr. Gigi
    January 24, 2011 at 7:17 pm

    The first thing you need is the most current copy of all three credit bureaus.It’s available for free form many providers but not all of them give you your score as well.

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  6. Reply
    islandhobbler
    January 24, 2011 at 8:07 pm

    we are in the same boat as you are not due to over spending but to a nut case hitting my husband and running a redlight using a cell phone and hitting him and he is now not working, so your best bet is CCCS, go for it they will cut your payments back and help you with your spending habits, it will take a few years, but it will save your credit, better than a bankruptcy on your history and the chance of losing your house. i did it when my first husband left me holding the bag with a lot of unknown bills in my lap(surprise) and it worked. i did have to take on a small part time job around christmas to buy presents for my boy. but it was worth it. dont skip on any payments get onboard with cccs and work things out, in a few years it will be worth it you will see

  7. Reply
    Monica A
    January 24, 2011 at 8:22 pm

    I would suggest that you contact bankruptcy lawyers and get their opnions. The first meeting is usually free and you can consult few and they will be able to give you a better advice. You should make a informed decision quickly since your financial situation may get from bad to worse. Good Luck.

  8. Reply
    reality
    January 24, 2011 at 9:13 pm

    If you don’t have any equity in your house, probably bankruptcy it’s not the best, but easser way to get out and start over. Banks are in trable now, so are you.
    Do what the best for you, today too many people in this shoes. Best of Luck!

  9. Reply
    maxmom56
    January 24, 2011 at 10:08 pm

    You are overextended. BoA was within it’s rights to close the accounts to protect themselves and, in a sense, to protect you from digging your hole deeper. It sounds like you are making all your payments and paying on time. That’s good. It means that the only thing having a negative impact on your credit is the amount of your debt.

    Now, the questions are whether you can continue to pay off the accounts you have beyond the minimum payment and whether you can live without access to credit. If the answer is no, CCCS is probably the answer. Bankruptcy seems to be overkill at this point.

    I wish you luck.

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