I make approximately $65000 a year but owe $30000 in unsecured debt in addition to student loans, a mortgage (that just went up by $500 due to escrow issues) and a car note. As a side note both the house and car have negative equity.
With the increase in my mortgage I am struggling to stay afloat and my credit card payments are being juggled. Because I am over extended my credit score is in the mid 500 range and no matter what I do I can’t seem to get ahead (all of the credit cards have interest rates of 27% or higher so the payments seem to have no real impact).
I have no savings and live paycheck to paycheck. I’m not too keen on the idea of bankruptcy, mostly because I made this mess, not the economy, not a loss of employment, no life changing tragedy…just my own lack of restraint and good judgement.
I want to dig out of this and am willing to make all of the necessary changes to my lifestyle but need direction. I was referred to MMI by a creditor but want to be sure that they are the right path for me. What are my other options and what would you recommend?
Is debt management the best solution for me? What other options are there?
Is Debt Management or Credit Counseling the Best Solution for Me? - Trisha by Steve Rhode
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