Ask Terry Questions Credit card debt, soon no place to live

Credit card debt, soon no place to live

By Terry Savage on October 29, 2017 | Credit/Debt

Hi Terry!! My husband and I rent. He got hurt at work and was out for 6 months. During that time I couldn't keep up w all our bills and got way behind on our rent and credit cards. We finally paid off our past due rent of 5000 but now our landlord tells us she's selling and we need to move out by march 1st. I have less than maybe 10000 in debt. I'm at least 6months behind on all my cc's!! Would it be bad to take a loan out through my bank to pay some of my debt down and also use some of the loan for our next security deposit? I'm so torn please help!!!! Thanks Sharon R.

Terry Says

OK, that's quite a frightening situation.  Let's start with first things first.  I will give you the number of the National Foundation for Credit Counseling -- 800-388-2227.  That automatically connects you to the nearest local office.  They will give you free or inexpensive advice you can trust.  With that much credit card debt you will never be able to get a loan from a bank!  But the people at NFCC can help you deal with your creditors, so you don't have to declare bankruptcy.  That would impact your ability to rent a new place, But you have a separate problem with your landlord.  Do you have a lease?  Does it end on March 1st?  If you have a valid lease for longer, you don't have to move. But if you are month-to month, your first challenge is finding a place for you to live.  Is your husband back at work?  Did he get a settlement for an on-the-job injury?  (Consider consulting a personal injury attorney if not.) If he is working again, you can probably save enough money for two months rent, which you'll need to move into a new place. That's top priority.   If you don't have a month's rent, plus a month for a security deposit, your choices will be slim.  Is either of you a senior?  If so contact your local or state department of senior affairs.  They may be able to find low-cost housing for you. You are being smart to face this issue now.  You don't want to be evicted, and you do want to save your furniture and personal property.  Please write back if you cant find enough help to get you through this.



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