Doug 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 have 20k of ccard debt and have lost my job. I am paying my bills with unemployment and savings but time is running out. I have thought about Bankruptcy but have been told i will lose my boat which is paid for and the court might auction my home also. My house is paid for also
What would be my best solution to my problem?
Doug”
The Answer:
Dear Doug,
You certainly are in a jam. It is true that both the boat and house are valuable assets and could be sold. Using your savings to tread water is a limited game. When the savings run out, if the income problem is not resolved by then, you seriously risk losing the boat and the house.
I think the best course of action at this point is to draw a line in the sand, say six weeks from now. If you have not secured new income by that date then you will need to think about selling either your boat or your house to pay off your debts. If you can sell one and raise enough money to pay off the debts you can save the other.
I realize that might be like trying to chose which child is your favorite but better to save one than lose both.
Check back in and post an update in the comments section. let me know what you decide to do.
