Latest Posts
Home > Ask The Get Out of Debt Experts > My Debt to Income Ratio is Enormous. – Laura

My Debt to Income Ratio is Enormous. – Laura

“Dear Steve,

My debt to income ratio is enormous. I pay bills on time, but do not have money left over for groceries much less anything else. I need to refinance my home because my ARM is up soon.

Would it be smarter to refinance now before I mess up my credit worse with a dept mgmt. program? I don’t know if my credit is ruined worse by a debt settlement or by my debt to income ratio. Please help.

Laura”

Don’t miss our free Get Out of Debt – “How To” Guide Series on a number of topics, for loads of practical advice, tips, and help to beat back debt. – Click Here

The Answer

 

Dear Laura,

No matter what the cause of your decreased credit score, the end result is the same thing, poor credit.

With a ARM needing to be refinanced in the near future you better make a serious effort to get your credit in shape.

First step will be to get a copy of your consolidated credit report and look to see what is really being reported about you. If you find negative and inaccurate information being reported, follow the instructions included in the consolidated credit report to get it removed.

With the stricter lending standards for mortgage today you might find it difficult to refinance with borderline credit. Once you tune up your credit report then I would contact a mortgage broker and talk about your refinancing options.

I don’t see any reason why you should be considering a debt management program at this time.

Big Hug!

My Debt to Income Ratio is Enormous.   Laura
Get Out of Debt Guy – Twitter, G+, Facebook

Share This and Spread the Word

About Steve Rhode

Steve Rhode
Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.

Get My FREE Get Out of Debt Guy Newsletter

It is the smart thing to do.

I promise to keep your email safe and secure.

Close

I want to keep you posted each weekday with just one email about the latest get out of debt news, scam alerts and information to beat back debt.

You can unsubscribe at any time with just one click.

After you subscribe, check your email to confirm your subscription. If the confirmation email does not appear in your inbox in a few minutes, check your spam folder for it. Sometimes it likes to annoyingly hide there.


  • It will keep you posted on the latest scams.
  • You will be alerted to the latest articles.
  • You will wind up smarter than everyone else dealing with debt.