Debt Consolidation Vs Bankruptcy
FILING BANKRUPTCY IS NOT AN EASY CHOICE FOR MOST OF US. I, MYSELF, WOULD HAVE RATHER PAID MY DEBTS, BUT IT DIDN'T WORK THAT WAY. I FILED IN MAY AND AM WAITING FOR DISCHARGE. THIS HAS BEEN A VERY NERVE RACKING YEAR, FLIP FLOPPING AROUND WITH THE DECISION TO FILE OR NOT.
WENT THE ROUTE OF DEBT CONSOLIDATION. I CAN ONLY SPEAK OF THE COMPANY I DEALT WITH AND IT WAS A RIP OFF. WHEN THEY TELL YOU NOT TO CONTACT YOUR CREDITORS AND TO QUIT PAYING YOUR PAYMENTS. IT IS FOR A REASON, TO PUSH UP YOUR INTEREST RATE, OVER LIMIT AND LATE FEES. WE WERE IN DEBT CONSOLIDATION FOR ALMOST 2 1/2 YEARS OF A 5 YEAR PAYMENT PLAN . TRUST ME WE WERE NOT EVEN CLOSE TO HALF WAY PAID OUT. I NEVER SAW WHERE WERE CREDITED FOR LATE FEES AND OVER LIMIT FEES AS WE WERE TOLD WE WOULD BE FROM THE CREDIT COUNSELORS AFTER 3 CONSECUTIVE ON TIME PAYMENTS. OUR PAYMENTS WERE NEVER LATE. IN FACT, GOT A LETTER WARNING US NOT TO PAY EARLY IF WE WENT BACK TO MAKING THEM ON TIME, WE WOULD TAKE CHANCE THAT BECAUSE OF BILLING IT MIGHT DOUBLE UP OR SKIP A PAYMENT AND THE CONTRACT WOULD BE VOID. WHEN I ASKED FOR A DETAILED LIST OF THE PAYMENTS MADE, WELL I HAVEN'T SEEN IT YET. WE WERE CONSTANTLY GETTING LETTERS AND CALLS FROM CREDITORS THAT OUR PAYMENTS WERE LATE. AFTER CONTACTING THE DEBT CONSOLIDATION COMPANY ABOUT IT WERE TOLD TO CHANGE THE DUE DATES ON THE ACCOUNT (WHAT DID WE CONTRACT THEM TO DO?), WHEN YOU TRIED TO THIS, THERE WAS A SMALL WINDOW OF WHEN YOU WERE ACTUALLY CURRENT AND COULD CHANGE THE DATE, WHICH WE DID. IT WAS SOMETHING ABOUT EVERY OTHER MONTH WITH THIS. THE DEBT CONSOLIDATION COMPANY DIDN'T DO A WHOLE LOT FOR US BY REDUCING THE INTEREST RATE OR THE PAYMENT PLAN (WE PAID OVER A $1100 A MONTH, BY CERTIFIED CHECK, NO LESS).
WE TRIED TO CONTACT THE INDIVIDUAL COMPANIES AND REQUEST A LOWER INTEREST RATE AND NOT CHARGE ANY MORE ON THOSE ACCOUNTS AND WERE EITHER DENIED OR THE AMOUNT THEY OFFERED WASN'T MUCH OF A HELP. I MUST ALSO ADD THAT THE INTEREST RATE WE HAD ON MOST OF OUR ACCOUNTS WAS BELOW 16% TO BEGIN WITH, BEFORE WE MISSED ANY PAYMENTS AS A RESULT OF THE ADVISE OF THE DEBT CONSOLIDATION COMPANY. AFTER WE QUIT PAYING THEM, THE CREDITORS DID CALL US OFFERING TO LOWER THE LIMIT AND FINALLY "TAKE A PAYOFF" SOME AS MUCH AS HALF. SORRY BY THAT POINT WE HAD NO MONEY.SAVING TO PAY A LAWYER. WOULD PROBALBY STILL BE WITH THE DEBT CONSOLIDATION COMPANY, BUT LIGHTENING HIT OUR HOUSE AND DESTROYED QUITE A BIT OF OUR APPLIANCES. INSURANCE COMPANY WASN'T THE BIGGEST HELP. ALSO THE TIMING ON FAMILY CRISIS WASN'T GOOD EITHER.
I GUESS IN A NUTSHELL I AM TRYING TO SAY THAT I LEARNED A COUPLE VALUABLE LESSONS. CREDIT AINT WHAT IT IS CRACKED UP TO BE. YOU LEAN ON IT TOO MUCH, ITS TOO EASY TO GET. NO MATTER WHAT KIND OF BUDGET YOU HAVE, SAVINGS DOES NOT HAVE THE PRIORITY IT SHOULD HAVE. BUSINESSES PUSH THE ISSUES-90 DAYS SAME AS CASH-NO INTEREST FOR A YEAR, ETC.
DON'T KNOW WHAT PRES. BUSH WAS THINKING, PUSHING DEBT CONSOLIDATION, (DOES HE OWN INTEREST IN ANY)BEEN THERE DONE THAT. HOPEFULLY NOT AGAIN.
BANKRUPTCY IS A PAINFUL CHOICE. TAKE YOUR TIME, DO THE RESEARCH ON YOUR OPTIONS, SHOP AROUND FOR SOUND, GOOD LEGAL ADVISE. THE MONEY YOU SAVE IN THE LONG RUN WILL BE YOUR OWN. I THOUGHT I WOULD HAVE TO FILE CHAPTER 13, DO THE PAYMENT PLAN, LAWYER SAID, I THINK WE CAN DO CHAPTER 7, SHE WAS RIGHT. FILED FOR BANKRUPTCY IN MAY, CAN NOT TELL YOU THE RELIEF IT HAS BEEN TO NOT HAVE THE CREDITORS NOT CALLING OR WRITING. OUR PHONE HARDLY RINGS. WHAT A CHANGE FROM THE CALLS STARTING AS EARLY AS 7:00 AM UNTIL AROUND 10:00 PM DAILY, 7 DAYS A WEEK. OUR MAIL CARRIER'S LOAD HAS BEEN LIGHTENED TREMENDOUSLY.
MY ADVISE TO ANYONE OUT THERE IN THE SAME SITUATION IS TAKE THE TIME TO EDUCATE AND INVESTIGATE YOUR OPTIONS. TAKE THE TIME TO WEIGH YOUR OPTIONS AND DO A LITTLE INVESTIGATION INTO THE CREDIT COUNSELING COMPANIES AND ATTORNEYS OUT THERE. LOOK AT THESE WEB SITES, GO TO THE LINKS, CALL THE BETTER BUSINESS BUREAUS.
IT HAS BEEN NOWHERE AS PAINFUL AS I THOUGH IT WOULD BE AND I SLEEP BETTER AT NIGHT AND DON'T CRINGE WHEN THE PHONE RINGS. OUR LAWYER WAS VERY REASONABLE, EXTREMELY KNOWLEDGEABLE AND WELL PREPARED AND ALMOST ALWAYS AVAILABLE.(NIGHTS, WEEKENDS) I DON'T HAVE ANYTHING BUT PRAISE FOR HER AND HER HUSBAND. ANYBODY IN NC, CALL CAMERON LAW.
WENT THE ROUTE OF DEBT CONSOLIDATION. I CAN ONLY SPEAK OF THE COMPANY I DEALT WITH AND IT WAS A RIP OFF. WHEN THEY TELL YOU NOT TO CONTACT YOUR CREDITORS AND TO QUIT PAYING YOUR PAYMENTS. IT IS FOR A REASON, TO PUSH UP YOUR INTEREST RATE, OVER LIMIT AND LATE FEES. WE WERE IN DEBT CONSOLIDATION FOR ALMOST 2 1/2 YEARS OF A 5 YEAR PAYMENT PLAN . TRUST ME WE WERE NOT EVEN CLOSE TO HALF WAY PAID OUT. I NEVER SAW WHERE WERE CREDITED FOR LATE FEES AND OVER LIMIT FEES AS WE WERE TOLD WE WOULD BE FROM THE CREDIT COUNSELORS AFTER 3 CONSECUTIVE ON TIME PAYMENTS. OUR PAYMENTS WERE NEVER LATE. IN FACT, GOT A LETTER WARNING US NOT TO PAY EARLY IF WE WENT BACK TO MAKING THEM ON TIME, WE WOULD TAKE CHANCE THAT BECAUSE OF BILLING IT MIGHT DOUBLE UP OR SKIP A PAYMENT AND THE CONTRACT WOULD BE VOID. WHEN I ASKED FOR A DETAILED LIST OF THE PAYMENTS MADE, WELL I HAVEN'T SEEN IT YET. WE WERE CONSTANTLY GETTING LETTERS AND CALLS FROM CREDITORS THAT OUR PAYMENTS WERE LATE. AFTER CONTACTING THE DEBT CONSOLIDATION COMPANY ABOUT IT WERE TOLD TO CHANGE THE DUE DATES ON THE ACCOUNT (WHAT DID WE CONTRACT THEM TO DO?), WHEN YOU TRIED TO THIS, THERE WAS A SMALL WINDOW OF WHEN YOU WERE ACTUALLY CURRENT AND COULD CHANGE THE DATE, WHICH WE DID. IT WAS SOMETHING ABOUT EVERY OTHER MONTH WITH THIS. THE DEBT CONSOLIDATION COMPANY DIDN'T DO A WHOLE LOT FOR US BY REDUCING THE INTEREST RATE OR THE PAYMENT PLAN (WE PAID OVER A $1100 A MONTH, BY CERTIFIED CHECK, NO LESS).
WE TRIED TO CONTACT THE INDIVIDUAL COMPANIES AND REQUEST A LOWER INTEREST RATE AND NOT CHARGE ANY MORE ON THOSE ACCOUNTS AND WERE EITHER DENIED OR THE AMOUNT THEY OFFERED WASN'T MUCH OF A HELP. I MUST ALSO ADD THAT THE INTEREST RATE WE HAD ON MOST OF OUR ACCOUNTS WAS BELOW 16% TO BEGIN WITH, BEFORE WE MISSED ANY PAYMENTS AS A RESULT OF THE ADVISE OF THE DEBT CONSOLIDATION COMPANY. AFTER WE QUIT PAYING THEM, THE CREDITORS DID CALL US OFFERING TO LOWER THE LIMIT AND FINALLY "TAKE A PAYOFF" SOME AS MUCH AS HALF. SORRY BY THAT POINT WE HAD NO MONEY.SAVING TO PAY A LAWYER. WOULD PROBALBY STILL BE WITH THE DEBT CONSOLIDATION COMPANY, BUT LIGHTENING HIT OUR HOUSE AND DESTROYED QUITE A BIT OF OUR APPLIANCES. INSURANCE COMPANY WASN'T THE BIGGEST HELP. ALSO THE TIMING ON FAMILY CRISIS WASN'T GOOD EITHER.
I GUESS IN A NUTSHELL I AM TRYING TO SAY THAT I LEARNED A COUPLE VALUABLE LESSONS. CREDIT AINT WHAT IT IS CRACKED UP TO BE. YOU LEAN ON IT TOO MUCH, ITS TOO EASY TO GET. NO MATTER WHAT KIND OF BUDGET YOU HAVE, SAVINGS DOES NOT HAVE THE PRIORITY IT SHOULD HAVE. BUSINESSES PUSH THE ISSUES-90 DAYS SAME AS CASH-NO INTEREST FOR A YEAR, ETC.
DON'T KNOW WHAT PRES. BUSH WAS THINKING, PUSHING DEBT CONSOLIDATION, (DOES HE OWN INTEREST IN ANY)BEEN THERE DONE THAT. HOPEFULLY NOT AGAIN.
BANKRUPTCY IS A PAINFUL CHOICE. TAKE YOUR TIME, DO THE RESEARCH ON YOUR OPTIONS, SHOP AROUND FOR SOUND, GOOD LEGAL ADVISE. THE MONEY YOU SAVE IN THE LONG RUN WILL BE YOUR OWN. I THOUGHT I WOULD HAVE TO FILE CHAPTER 13, DO THE PAYMENT PLAN, LAWYER SAID, I THINK WE CAN DO CHAPTER 7, SHE WAS RIGHT. FILED FOR BANKRUPTCY IN MAY, CAN NOT TELL YOU THE RELIEF IT HAS BEEN TO NOT HAVE THE CREDITORS NOT CALLING OR WRITING. OUR PHONE HARDLY RINGS. WHAT A CHANGE FROM THE CALLS STARTING AS EARLY AS 7:00 AM UNTIL AROUND 10:00 PM DAILY, 7 DAYS A WEEK. OUR MAIL CARRIER'S LOAD HAS BEEN LIGHTENED TREMENDOUSLY.
MY ADVISE TO ANYONE OUT THERE IN THE SAME SITUATION IS TAKE THE TIME TO EDUCATE AND INVESTIGATE YOUR OPTIONS. TAKE THE TIME TO WEIGH YOUR OPTIONS AND DO A LITTLE INVESTIGATION INTO THE CREDIT COUNSELING COMPANIES AND ATTORNEYS OUT THERE. LOOK AT THESE WEB SITES, GO TO THE LINKS, CALL THE BETTER BUSINESS BUREAUS.
IT HAS BEEN NOWHERE AS PAINFUL AS I THOUGH IT WOULD BE AND I SLEEP BETTER AT NIGHT AND DON'T CRINGE WHEN THE PHONE RINGS. OUR LAWYER WAS VERY REASONABLE, EXTREMELY KNOWLEDGEABLE AND WELL PREPARED AND ALMOST ALWAYS AVAILABLE.(NIGHTS, WEEKENDS) I DON'T HAVE ANYTHING BUT PRAISE FOR HER AND HER HUSBAND. ANYBODY IN NC, CALL CAMERON LAW.
I'll be watching, you may never know when or how, but I'll be there. I am there now....
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