Jules wrote to me through the GetOutOfDebt.org site and asked the following question. 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.
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“Dear Steve,
With 30,000 in credit card debt, 20,000 in loans, is consumer credit counseling best or should I try to consolodate 6,000 more in fixed loan and ccc the rest.? Or Bankruptcy? Right now credit cards are increasing APR’s and I feel like I am drowning. Credit rating is 680′s. I also have two open cards with zero bal and 5,000 each limit. Should I close them, I have never used them but they’re from a preditor loan company.
Thanks.
Jules”
The Answer:
Dear Jules,
Close the two credit cards that you have not used and talk to someone about a debt management program to lower your interest rates. Do not consolidate any in a new loan.
