I recently wrote to you “I heard not to file bankruptcy, now I wish I had“. You advised me to sell my house. I owe 4 years. But making the payment is hard because I refinanced $20,000 in debt with it making the payment high. I will be 64 when it is paid for in 9 years so I am going to TRY to keep it. Right now I have been making all of my payments–but have nothing left to save.
After hearing your advice I decided to keep a detailed list of every penny I spend for 2 months. I know you are shocked I have never done that. I guess I was afraid of what I would learn about myself. That wine, cigarettes, scratch off tickets, cat toy, dog sweater, etc. probably add up! I am not excited about the idea of it, but I have to get honest with myself.
If I see that I am unable to build a saving’s account and pay all of my taxes plus contribute to my 401K again–I thought of one final option before putting up the “FOR SALE” sign. I have a 2 bedroom house and I live alone. I might be able to talk my 30 yr old son into renting from me. Or, finding a someone else. Last option—sale my house.
The main reason I am writing is this. I have talked to DRC (Debt Relief Center) about my 3,000 credit card debt. Macys and Penneys together. Both interest rates are high. DRC told me I would have to pay them for 15years with a total of over $4,000 interest by the time I had them paid off.
DRC has offered me a one time fee of $40 with no other fee (except an auto debit fee) with a $99.00 monthly payment for 4 years. And, they do this without hurting my credit score which dropped to 680 at the end of Feb. 2000 and hopefully it is up a little now because I haven’t been late 1 minute on any payments.
Have you heard of them? Should I do this? I have been paying the min. payment but adding $5-$10 now because the min. has gone down on both of them.
I need your advise about this “Debt Relief” company. They want me to act right away–that bothers me. Plus, I don’t remember contacting them but they called me on my work phone and said they had talked to me before. I may have forgotten, but I have made so many mistakes in the past I don’t want to make another one.
If I take a Debt Relief offer will it be another “Debt Mistake” ?
I had not heard of DRC, Debt Relief Center before so I dropped by their site, looked around and did some research. I’m not positive that I have the same place that contacted you so if you could give me their phone number or website address, I would appreciate it.
The offer you presented has me scratching my head and listening to alarm bells going off. I’m not sure I understand what it is that they are offering you. DRC appears to be a debt settlement company that also brags about all the money to be made in the debt settlement business. And in their sales pitch for affiliates or franchises they make some pretty scary claims like “No License Required” and “Start making Money Right Away.”
I’m not going to tell you to run like the wind just yet. I need some more information. Can you upload either the contract or emails they sent you so I can look at them? You can upload them here.
I too am concerned that they reached out to you instead of you contacting them. Something is just not right here.
Now, what I am about to tell you I want you to just take as an observation. From all that you’ve shared with me I think there is some evidence to point to the realization that you may have a fairly impulsive or addictive personality. I could be dead wrong but the smoking and lottery tickets whisper to me. So before you leap at any solution, let’s figure this out together. I’m here to help. I don’t want you to make an impulsive choice on something so important, getting out of debt.
I’m also still stumped at what you would be paying almost $4,800 for over four years. I get that the debt is $3,000 but how can they calculate that fees are going to be $1,800 unless they have a specific deal with your creditor already in place.
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.
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.
P.S. Be sure to read ‘The Secret of Surviving Through Difficult Economic Times. What I Learned On My Journey‘.