How do you deal with your creditors when you can't pay the full amount, if you have lost your job etc.? I try to explain, but most want money no matter what? I did get one card closed and a low payment plan, but only one would do this for me.
It's been my experience that dealing with card companies over the phone is always to their benefit and not yours. The person on the other end of the phone seems to have a script they have to stick to. Try to deal with them in writing, and let them know what you want, lower interest rates, no late charges, etc., and also tell them the maximum amount you can pay each month. I did this with one card company for several months before they made me an offer I could live with. Now that congress is planning on cracking down on credit card companies, a lot of them are making offers to their customers to settle their debts. I had two small accounts that I stopped paying on, and the creditors offered to settle my accounts for half of my balance. Discover Card has a new web site: www.cardmemberassistance.com where they give you three different (and reasonably) options for settling your account. It might not be too long before the other card companies follow their lead.
PLEASE use caution if working with a 'non-profit' debt management/credit consolidation service. Some charge hidden fees or don't live up to their promises while others ask for donations to "help them stay afloat."
Do some reading at http://www.ftc.gov in the "consumers" section before making a decision to work with such a service. There are so many scams out there!
Read the book Get out of Debt & Stay Out of Debt by Gerrold Mundis (based on the DA anonymous program). He recommends that you just keep on sending in what you can ANYWAY. And keep on doing it on a regular basis - the only thing I would wrry about is their tacking fees on - There are debt management services that are non-profit that help you make a minimum amount.
They're trying to stay afloat also but everybody has to take care of themselves. All you can do is all you can do. Make a statement of when you intend to pay and how much and just tell them that is absolutly all you can do. They'll have to take it. They might not like it but in my experience dealing with the public busineses would rather get something than nothing.
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