Re: Finances - OT - credit counseling services

[Guest guest]

I know that years and years ago, during my 2nd crash and burn

marriage, we had 3 mortgages on our home (how stupid was that??), 2

vehs, etc. etc. Anyhow, he wanted a divorce so I moved out with my

kids and pets and personal belongings; he was going to keep the house.

Three months later (all utilities in my name, mind you because he had

crap for credit), he informs me he has filed bankruptcy because he

cannot afford the house and guess who went along for the ride quite

against her will???

That was in 2000; I did go thru Consumer Credit Counseling Services

(a non-profit organization, I think at the time they only added like

$5 a month to the monthly payment to cover expenses) to pay for the

things that wouldn't qualify on the bankruptcy (actually, they

were " my " things and I was trying to salvage some dignity and it was

a moral principle at that point for me!). They didn't steer me wrong;

I was able to pay it off early because I moved back home with my

folks and paid them $600 for rent/food a month and everything else

got sunk into what I owed.

It's now 2008. I've been remarred to a wonderful man of God since

2004 (although we have our bumps like most couples). We were able to

buy a house in 2005, refinance it at a lower rate for less years last

year, I have bought TWO brand new vehicles in " my " name and we have a

few credit cards that we are working to pay off. Yes, the bankruptcy

from my last marriage is still on for 2 more years (less

actually....woohoo). Yes, the CCCS still shows but it is 8 yrs old

now too, so there IS life after credit crash and burn.

My best suggestion to anyone who feels they are facing that

proverbial wall and there's " nowhere else to go " is to try a budget

for at least 4 months. Tell your money what it is going to do. Make

sure you take care of the very very basics first (food, shelter,

lights, transpo, meds). Everything else - student loans, credit

cards, old doctor bills, etc. should be prioritized and you should

make every attempt to work out some sort of reasonable payment plan

that YOU can live with, even if it is only $5-10 a month. Eventually

that bill WILL get paid off! Consider having yard sales, go through

your stuff and see if anything is valuable enough to consider selling

on ebay. Have an old record collection? Star Wars? You would be

surprised how much some of the stuff you have laying around might

bring on Ebay that could help you turn stuff around.

Personally, I save $1 and all my change. I have so many piggy banks

that I figured that I would just start working on filling them up

(pennies go in their own....lol), and when I get them all filled,

roll them and see if I can either pay something off *or* put it back

toward Christmas!

I hope this helps someone; sorry it's so long! Feel free to email me

off-list if you have any questions....

Darlene

> >

> > , I don't know if you are aware of this or not. When you use

a

> credit counseling service, it goes on your credit record, and

> creditors will look at it just like a bankruptcy. My DH and I

tried

> credit counseling and found that out the hard way. We have had

money

> troubles since before we were married. In 2001 or so, we made a

> terrible mistake on our mortgage refinancing with a company that

had

> made promises over the phone that they did not keep at the time of

> signing. We were trying to consolidate a car payment as well as

get

> some extra cash, plus combine a home equity with very high interest

> rate all into the one payment. But they were not able to include

the

> car payment, so when it came time to sign, well, we had pretty much

> already spent that " extra cash " and didn't feel we could back out

on

> the loan. We knew about the 3 day window to cancel the loan, but

> like I said, we felt stuck. So we really learned that lesson the

> hard way.

> > Anyway, I got off on a ramble.

> > Jeanne in WI

> > Darlene, I finally started using one of those organizations

that

> help you get out of debt. Unfortunately, just as I was finishing

> making my payments, they were absorbed by an other group --- but I

> did that bit about paying minimum on the biggies and paying the

most

> on the smallest and I really did dig myself out of a very big

hole.

> Only problem was once my mother's estate was settled, I opened

first

> one

> > and then an other visa card. I could pay both of easily but I

> did go overboard. On the other hand, both vehicles are paid off ---

> paid cash for mine and then got tired of dh not writing a payment

for

> his new truck so I called and got the pay-off balance on that,

> >

> >