Steve 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,
I am nearly reached the end of long journey journey to enter a heathcare profession. Credit, damaged during the lean years of graduate school, was most rehabilitated. But then I had a job change (with pay cut) and adding insult to injury, I have stumbled at the last professional qualfying hurdle – the licensing exam. Once that is behind me, financial potential will be nearly limitless.
Presently, however, my employer has dropped my modest salary and is paying me only per session (a paltry sum due to the aforementioned licensing trouble.) We aren’t far behind with bills, but, as an example, the car finance company let us know they could offer us NO concessions unless I was fully employed. Paying the one overdue payment cannot be done by mail, phone, or their website because those will only accept total payment of both the current and past due payments. We must use a money transfer service. (I won’t mention their astronomical interest rate we swallowed purchasing this essential family transportation while still in my fresh from grad school credit slump).
We have a couple of other accounts where I’ve tried send explanatory EMails asking to make arrangements. All I get are the incessant “When can we expect payment?” calls.
Needless to say, the stress of all this doesn’t facilitate my being able to properly prepare for re-taking the licensing exam.
We just need a few months’ breathing room. Why doe it seem so diificult to get?
Where are the supposedly “eager to help” creditors?
Steve”
The Answer:
Dear Steve,
You silly goose. You fell for the public relations line that creditors tell government and the public and now you are learning what reality is.
I think the situation is what it is and you are just going to have to prioritize payments to retain the car and let the other stuff fall behind. You’ll be in collections but if at all possible, just mentally set is aside so you can focus on the exams. It can all be cleaned up and dealt with afterwards.
Bankruptcy could shut the creditors up but I don’t think you need to do that, all you really need is a brain break to get over this last hurdle. You might want to read “How to Hide From Debt Collection, the Debt Collector, and Creditors” and see if that isn’t exactly what you are looking for to solve this short term issue.
