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  • Eric80
    replied
    I think that filing for bankruptcy should be your last resort and something which you should not consider lightly as this will affect your future. I highly recommend that before you finalise this decision that you consider speaking to a debt advisor where they will be able to suggest a possible solution like IVA or to consolidate your debts.

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  • DebbieL
    replied
    If you expect huge tax refunds, I have a feeling you are having too much taken off at source. Can you adjust this so that you don't get big refunds? It would seem that you need that money in your pocket every month, not giving an interest-free loan to your government.

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  • snafu
    replied
    Getting... Hope you have an awesome Thanksgiving. you have a lot to be thankful for. I know life's challenges can knock you down from time-to-time but we know you can get back up and start making good decisions for yourself.

    1st get on the phone and and ask creditors to work with you by reducing those outrageous interest rates. Hey, as your FICO score drops, your interest rates rise. You need to be mindful and press for reduction. Nothing to lose by asking!

    Expecting a big tax rebate said a lot. It meant you were not looking after your money You gave the government an interest free loan. They will never give You an interest free loan! They add fees and penalties when you don't pay. Have your tax deduction adjusted to break-even. You can be trusted to spend your money responsibly and pay down your debts.

    Short term, while you're getting this financial mess cleaned up, you can't afford to buy new stuff. Write a budget and stick to it. You need to be disciplined and mindful of spending to the penny. Best of all, frugal habits learned now will be the best example for your youngster. No complaining, no cranky mom, substitute free/low cost activities and experiences for spending. Spend time at the library and one-on-one time activities to make the best long term memories for you both...or all three. Kids lose interest in advertised toys PDQ, but they remember the books mom read to them or stories about 'when I was your age, we had fun...'
    Last edited by snafu; 11-18-2011, 10:33 AM.

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  • gettingittogether
    replied
    Bucky - I don't want to do it. That's definitely a last resort, I was just feeling so overwhelmed. It's like I just can't get ahead...and things keep coming up.

    Petunia - my ex-husband does pay child support, I didn't feel the need to list it separately. My boyfriend is paying his fair share. He is paying more than I do.

    I am going to work on paying all of this down and off. Hopefully I will get a decent tax refund and can knock a lot of it out.

    Leave a comment:


  • photo
    replied
    Originally posted by gettingittogether View Post
    The cable is the only real luxury, as I don't really do anything else (get my nails done, etc).
    You're strongly considering declaring bankruptcy. Obviously, a cable bill is a mere fraction of your problems, but if your financial mindset doesn't change, you'll end up bankrupt again in a few years. A bundle is a bargain only if you can afford it.

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  • Petunia 100
    replied
    I don't see any child support. Why isn't your son's dad paying anything towards his son's expenses?

    Is BF paying his fair share of household expenses?

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  • BuckyBadger
    replied
    You still seem to really want to declare bankruptcy. I agree with the others, though, who are suggesting that you rethink that. You only owe $22,400. You make $35,400. It's really not all that bad, although I'm sure it seems insurmountable right now. All you need to do is scrape together a couple hundred dollars per month, and people have made great suggestions about how to do this. Once you start your debt snowball you'll be surprised how quickly you'll see yourself make progress.

    Bankruptcy is a one-time, nuclear option. It is not to be taken lightly.

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  • gettingittogether
    replied
    I will probably keep the car... it seems like the best thing to do right now. It doesn't give me any problems, so I'll see what happens.

    Snafu... I dont know when the rates got so high! It's really a mess. I know of an attorney who will do the bk filing and what not and you can make them payments. I wonder how much of a hit I'd take, FICO wise. I'm already extremely low.
    Thanks for the heads up on employers checking FICO scores. I have a job now, so thankfully, I don't need to worry about that now *knock on wood*
    He has agreed to pick up a larger share of the bills, so that will help me tremendously. I am also expecting about $3K over the next few weeks, so I will be able to pay a few of these off. Thank you Jesus!

    Thank you all for your advice. I truly appreciate it!

    Leave a comment:


  • snafu
    replied
    Those interest rates [15% - 30%] are outrageous! 1 st see lenders and try to get interest rates lowered to somewhere near normal. Sorry but you will have a difficult year resolving earlier decision/errors in judgement. I doubt you could afford the up front costs for bankruptcy and you certainly wouldn't like the nasty after effects. Employers routinely check FICO numbers and significant numbers won't hire individuals who have been through bankruptcy. It speaks volumes about individual's responsibilities and value systems.
    2nd write yourself a budget and stick to it to the penny. Can BF pick up a larger percent of rent? Child care, food, transportation,CC & loans. In your situation cable, internet, phone are luxuries [they only feel like necessities because you're used to having them] you can't afford. Prepaid phone for emergencies. Every library has free internet and DVDs. Seek some intermittent part time work; non agency house cleaners here earn $ 65. for 4 hrs work. While you must finish out this semester perhaps you will need to defer being a student until you climb out of the mess.
    Last edited by snafu; 11-11-2011, 12:06 PM.

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  • bjl584
    replied
    Originally posted by gettingittogether View Post
    Hi Minnie -

    Thank you for your reply. The phone is part of a bundle with the cable and internet. I don't even know what hulu is. I think we may be in a cable contract. We are also in a cell phone contract as well.

    I thsurely don'tunderstand what you are saying about the car. I sell it for 5, I owe the bank 7 so...won't I have to pay off the loan for the bank to release the title? I mean pay the difference? So then I have to come up with 2K, and then somehow find money for another car.

    I typically owe about $200 on my taxes.

    I have looked into the FSA but I cant enroll until next year.

    Thank you for your advice!
    Yes,
    you will need to come up with the difference on the car loan as you stated. It's a judgement call. Can you secure a loan to both pay off the difference for your current car AND buy another car for less than you owe now? (7000) You may be able to, but the replacement car that you end up with may not be reliable and may cost you more in the longrun in repair costs. I would probably just keep the car and focus on getting the loan paid off if I were in your position.

    Leave a comment:


  • gettingittogether
    replied
    Hi Minnie -

    Thank you for your reply. The phone is part of a bundle with the cable and internet. I don't even know what hulu is. I think we may be in a cable contract. We are also in a cell phone contract as well.

    I thsurely don'tunderstand what you are saying about the car. I sell it for 5, I owe the bank 7 so...won't I have to pay off the loan for the bank to release the title? I mean pay the difference? So then I have to come up with 2K, and then somehow find money for another car.

    I typically owe about $200 on my taxes.

    I have looked into the FSA but I cant enroll until next year.

    Thank you for your advice!

    Leave a comment:


  • minnie1928
    replied
    Originally posted by gettingittogether View Post
    Very few. I use tuition reimbursement through my job.
    Excellent!

    Leave a comment:


  • minnie1928
    replied
    If you are using the house phone for emergencies, why not pick up a prepaid cell phone instead? As far as cable, could you drop it and watch shows on hulu or the network websites?

    As far as the car goes, I don't think you understand what people are suggesting. If you sell the car for $5000 and buy another car for $2000, that would reduce your overall car debt to $4000 (down from $7000) and reduce your monthly payment.

    Are you utilizing a dependent care flexible spending care account (assuming they offer one)? That could help reduce your tax bite on the daycare.

    Do you typically get a tax refund or do you pay in? If you get a refund, you should adjust your withholdings to reduce your refund and put more money in your pocket now.

    Cell phone...can you do anything with that? are you near the end of your contract? could you go prepaid?

    Leave a comment:


  • gettingittogether
    replied
    Very few. I use tuition reimbursement through my job.

    Leave a comment:


  • Redraidernurse
    replied
    Originally posted by gettingittogether View Post
    Thanks everyone!

    I don't think I could sell the car and end up with any proceeds. I owe 7K on it. I may be able to sell it for $5 or 6K. Then I still owe the bank and have no car.

    Yes, the secured loan is separate from the car. It was secured by household items (tv, wii, and some things I don't even have anymore).

    No savings, no real budget either. I ran up the cc bills getting things fixed and moving. The cable/phone/internet is a bundle.. I need the internet for school (which I am in full time) and the house phone for when the kids are there. The cable is the only real luxury, as I don't really do anything else (get my nails done, etc).

    The $115 loan is the secured one. The total monthly payment is $225, my bf pays the other half.

    Right now, I am not doing anything for additional work. I work full time and go to school full time as well. I don't know if I could squeeze in another job. Maybe weekends!

    Unfortunately there is nothing I can do about the school care other than complain.
    Are you having to take out student loans to go to school?

    Leave a comment:

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