My husband and I have about 60K in a combination of personal and failed business debt, but otherwise have sqeaky clean credit. We do not own our home and would like to as soon as possible. Our problem is that we have been paying near $800 a month on debts every month for the past 3 years and making little headway. It’s very hard to pay extra to get them down faster. I have worked hard to get rates down and as a result, so half our debt is near 5% and about 25K between 10 and 18%.
Our credit debt and lack of cash have prevented the opportunity to buy a home or save and we are slaves to interest at this much debt. We are in our very early 40′s with two kids and to make things worse, we cashed in our savings before we knew better.
I question what is worse, no cash flow and good credit potential with years of debt or relief from the consideration of bankruptcy and what that may mean for our future. I have seen loads of info on bankruptcy, but wonder how our circumstances may reflect that option. Any advice you can offer would be appreciated. Thank you.
If debt is very high and credit is otherwise super clean, is bankruptcy still a wise consideration?
If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.If We Have Good Credit But Not Getting Anywhere, is Bankruptcy an Option? - Chris by Steve Rhode