“Dear Steve,
Debt to Earnings is out of control. I want to get out of debt but the way I am going, I’ll be in the grave before it happens. Have a rental property I could never sell. It is valued at a fourth of what I paid. My residence is valued at a third. At this rate, there is no equity. I though I might sell my rental to pay off credit cards. Not going to happen. Now searching for the right debt settlement company.
I started down the road with CuraDebt and found out they use Global Client Services to escrow my money. I have concerns based on the research. I am $50,000 in debt. Cura wants to put me on a 60 month payment of $544.40, enrollment of $199. 15% on overall debt being enrolled ( I figure this at $7,500 and monthly legal fees of roughly $94 which I figure another $5,665. When I add that all up I think I come up with about $45,328.
What are your thoughts. Who would you recommend that I can count on. Thank you, kindly
NJ”
Dear NJ,
Addressing the credit card debt is good but if you put it in the larger context it’s a it like worrying about a hangnail while you just lost your leg.
There is no reason you’ve shared with me you should be embarking on this approach. I assume you told CuraDebt about the home situation?
You don’t need a five year solution that leaves you lingering. You need a legal second chance that addresses all of your debt.
Before you do anything I urge you to click here to find a local bankruptcy attorney and talk to them for free.
You should be looking at a solution that allows you to hand the homes back to the bank, discharge your liability for those homes and discharge your consumer debt. This will allow you to reboot your financial life and get out from under the homes which are so underwater you’ll never get out.
If you feel the advice is reasonable and logical then please follow my suggestions before you make what I think will be a very expensive partial solution that will not give you the best chance for future success.
Please post your responses and follow-up messages to me on this in the comments section below.
You are not alone. I'm here to help. There is no need to suffer in silence. We can get through this. Tomorrow can be better than today. Don't give up.
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