Steve; I came through a divorce with $57,000 in debt, but I had decent job and this was not a huge problem but then I became disabled, couldn’t continue working and of course got behind in my payments. My mother know how stressed I was about my financial situation and allowed me to do a balance transfer to a credit card she had with Chase at a 2.9 APR which saved me a lot of money per month BUT then they raised the minimum payment AND interest rate so now I am back to square one but since the bill is now in my elderly mothers name I am really freaking out because she has perfect credit.
I am now on social security and draw $900 per month, $88 of that comes out for my health insurance, I have two children at home, very little help from their father and I am at my wits end.
How can I work this and relieve stress for me so I can breathe again. Living everyday feeling like I am having a heart attack has caused me other health problems and I am now having to see a counselor for depression, this is taking its toll on my family and I need help. Thank you for your help.
I’m an authorized user on my mothers card, owe $57,000 became permantly disabled and hopeless. I need some advise before they are cashing in my life insurance to pay off my debt :( I would love to become your poster child if you can help me dig out of this situation so I can get my life back.
Well if I could turn back the clock I’d love to see that balance transfer never happen.
On the rest of the debt you need to do two things.
- Consult with a local bankruptcy attorney and go bankrupt. There is no expectation you will be able to repay the debt and just turning your back on it is not a solution either.
- Pursue the father for child support. You owe it to the kids and let the court do the work.
The depression is exacerbated by the financial problems so if we address the debt then you will start to feel better faster.
The Chase balance transfer debt is now in your mothers name and she can either pay it off or you can make payments to her for it. There is no easy fix for this since she assumed responsibility for the debt by transferring it to her account.
I honestly know you are stressed to near heart attack and depressed but you’ve got to trust me and follow this plan. If you do, the days will get brighter, you will sleep well again and where you see only doom and gloom now, you will begin to see a brand new day.