I have about 34000 in unsecured loans and credit card debts. i am paying about 1500$ a month on those debts alone I am current on my payments for now but need help on what to do. it is becoming harder and harder to manage. What are my options? continue paying minimum payment consolidation or what. could you please help me i need advice. thanks

Terry Says:

OK, you are buried in debt — and paying only the minimums is just digging yourself into a deeper hole. The way the minimums are calculated by most card issuers, it could take over 30 years to pay down the balances — and along the way you will pay four times the amount you originally charged in interest charges.

Immediately contact the national, non-profit National Foundation for Credit Counseling.  Dialing 800-388-2227 will automatically connect you to the nearest local office.  You can trust their advice.  Basically, there are three routes:  1) they could look at your income and budget, and figure out ways you could earn/save/pay more on your cards each month; or 2) they could set you up with a debt repayment plan where your creditors agree to lower the interest rates and take a lower monthly payment — you write ONE check to the counselors and they pass on money to each of your cards (and this will go on your credit report vs just counseling which is private) or 3) They could send you to a reputable lawyer to file for bankruptcy.

Don’t hesitate.  Make that call — and go in for personal counseling.  Feel free to write back to me if you still have concerns.   But don’t fall for those late night TV commercials offering to make “deals” with your creditors.  Inevitably they lead to more problems, not less!