I am a single mom with 2 kids. I live with my children and for a very long time I was not working a full time job. I bought everything extra (clothes for the kids, toys) with my credit cards and I was kind of depressed so I know I bought more than I should have.
So $20,000 dollars in debt later here I am. My credit cards all raised the interest so all I pay is interest. I dont know how to get out of this and everytime I look into help it turns out to be some scam (luckily I research them until I get an honest answer from somewhere) but it still doesnt help that I pay about 600 bucks a month in credit cards and I have nothing left after my regular bills (rent, utilities, etc)
Should I file for chapter 7 bankruptcy? I really rather not since its my own fault for racking up this bill that I cant afford, but I dont know where else to turn or what to do.”
You know, a point many miss is just because they elect to pursue the protection that bankruptcy offers, that does not mean you can’t repay your debts on your terms, later, if you want.
You’ve recognized that the underlying issue here was emotional spending and that the debt is the byproduct of those decisions. The debt really wasn’t the problem.
If you decide to pursue bankruptcy, just remember the lesson you learned from this unfortunate experience and don’t make the same mistake again.
I’d suggest you first read How to Get Out of Debt. The Honest and Unvarnished Truth and The Truth About The Success Rates, Failure Rates and Completion Rates of Credit Counseling, Debt Settlement, and Bankruptcy. They will give you a great overview of what we need to deal with to get you moving in the right direction.
Then use the free How to Get Out of Debt Calculator to review your options.
Once you’ve identified a company you want to work with, then follow my step-by-step guide on how to check out a debt relief company.
Please post your responses and follow-up messages to me on this in the comments section below.