At a loss and frustrated.

[mevela1]

I have a good job. Health circumstances got me in a bind about 18 months ago. Tried to ignore but finally decided to put several cards in debt management with Consolidated Credit Counseling (as seen on TV). I've been making the payments (real estate taxes and other things increased as well) and trying to keep other accounts up to date. Well ofcourse the other cards consider me a 'risk' and have raised my rates to 32% now. I dont seem to be making any headway and I'm ready to give up. What if I decide to just file for bankruptcy now? Has anyone participated in the credit counseling programs who later decided to just throw in the towel? Why if you are making a valiant effort do the creditors punish you more? Any advice or talk would be appreciated. I live in Iowa and I'm not sure if the state (judges?) will make a difference. Thanks and best of luck to everyone in these awful circumstances.

[lrprn]

Welcome to BK Forum, mevela1 - glad you found us!

Has anyone participated in the credit counseling programs who later decided to just throw in the towel?

There are quite a number of us here who tried debt management and credit counseling - except for a small percentage of debtors, these programs only delay the inevitable - filing for bankruptcy.

Why if you are making a valiant effort do the creditors punish you more?

Because making money is more important to them than doing the right thing....frankly more important to them than anything!

I live in Iowa and I'm not sure if the state (judges?) will make a difference.

The bankruptcy law is national - it's the same for all states. However, how parts of the bk law is interpreted do vary from state to state.

It's always a good idea to meet with 3-4 bankruptcy lawyers in your area. Most give free initial consultations. You'll learn a great deal about what's realistic if you do decide to file bankruptcy, plus you'll have a chance to see which lawyers you feel will represent your interests best.

If you want to learn more about bankruptcy, let us know - we'll share good links to help you. Also we can help you figure out which consumer bankruptcy chapter (7 or 13) you will most likely qualify to file.

Come back with questions any time - that's why we're here!

[wooisme]

oh i did lawgistix..........what a nightmare that was. a debt settlement co. i was in worse trouble just being with them. yes i did a chapter 13! and gave the trustee this company's name, perhaps he went after the money i paid in which they claimed was a service fee, a whopping $1600 service fee, have you ever heard of anything so nuts in all your life??

being in a debt program like that has no bearing at all in what you decide to do in regards to bankruptcy

[dac67]

I tried Debt settlement and ended up with 2 lawsuits against me. I was so stressed I dove into bankruptcy, I wanted the harrassing phone calls and court dates to stop. It was a total waste for me.
Some companies say they will change your address and phone #, so these companies can't contact you, I think that would be good. Then the creditors can only deal with them. There are so many credit consolidating companies and debt settlement companies you really have to do your homework.