Bill 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,
60k in IRS debt and 20k in credit card debt, already living paycheck to paycheck supporting kids and adopted grandkids
What can I do, IRS has placed a federal tax lien so i can’t get a loan and credit card company is calling my work and home 20 times a day and applying 20% interest but is unwilling to talk settlement, I haven’t been able to pay payments vs. grogeries for 4 months now, I am going to have a nervous breakdown, Help?
Bill”
The Answer:
Dear Bill,
The reason you are feeling as if you are having a nervous breakdown is because the stress is extreme and you are in an un-winnable situation. So in order to change the stress level you are going to have to take some action to break the logjam you are in.
The IRS lien is going to prevent you from getting a loan. Without the loan you feel you can’t get out from under the credit card debt. You can’t afford to make payments and eat. As long as you remain under the credit card debt the collectors are going to call. The collection calls are stressing you out.
If you change one thing here, eliminate your debt, the calls and pressure stop. Your only real option to break this logjam is going to be with bankruptcy to discharge the credit card debt. The IRS debt will have to be repaid or a repayment offer or an offer in compromise might be to help deal with the IRS debt.
I would strongly suggest that you go and meet with a local bankruptcy attorney, discuss your situation, and take some proactive action to alter the current path you are on. Once you do that it will make your life and the lives of those around you, better.
