Latest Posts
Home > Ask The Get Out of Debt Experts > I’m Homeless and Hopelessly in Debt. What Should I Do? – Darrell

I’m Homeless and Hopelessly in Debt. What Should I Do? – Darrell

Darrell

“Dear Steve,

Went on SSI about 18 months ago, and lost everything. Im homeless now. Getting my food at food banks, and shelter wherever.

My only sorce of income is SSI. I receive 850 dollars a month. I have around 10,000 in credit card debt. I also have about 2500 in payday loans i owe. I dont know what to do. This is my second letter to you. I did not hear back from you on the first one. I dont have one cent to hire a lawyer. Ive looked all around and cant find any places that offer free legal help. Im homeless now. Ive lost everything. Please help (ASAP)

Darrell”

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 Darrell,

It’s never good to start with an apology but I’m sorry I have not made it to your first request yet. I alter between doing the first in the queue and the last and I guess that first request is somewhere in the middle.

There is free bankruptcy help available through the network of pro-bono bankruptcy attorneys. You can lookup the provider in your state through this link. There will still be court fees to pay to file but that will be significantly less than what most people pay in total for bankruptcy.

Since your income is only SSI, you don’t sound like you have any assets to go after and you are not working, then a second option, as silly as this sounds, is to do nothing. You will probably be sued and you will lose but there is nothing for the creditors to go after.

When you do get back on your feet and start earning an income again outside of SSI then you could pursue bankruptcy to close the door on those old debts. In the meantime, if you are contacted by a debt collector, just be nice, but don’t make a single promise to repay that you can’t afford. Just know you will remain in collections for now and find a way to weather the storm.

Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.

Big Hug!

Im Homeless and Hopelessly in Debt. What Should I Do?   Darrell
Get Out of Debt Guy – Twitter, G+, Facebook

P.S. Be sure to read ‘The Secret of Surviving Through Difficult Economic Times. What I Learned On My Journey‘.

I'm Homeless and Hopelessly in Debt. What Should I Do? - Darrell by

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.
  • Quincy

    Jesus Christ is the way, the truth and the life John 14:6 so put Him 1st Matthew 6:33

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.