Before the post gets buried below regarding credit - very long message sm
Posted By: penny wise on 2008-08-24
In Reply to:
I just wanted to share with the posters who were considering bankruptcy.
Unless you are on the verge of losing your home, I would strongly encourage you to consider another option. Bankruptcy does not just go away after a few years. It's there forever. Even if you rebuild your credit afterwards, it's still there - a haunting demon. A friend and my in-laws also filed bankruptcy in the past.
My in-laws filed over 20 years ago and have recovered financially but it's still there.
My husband is a credit card spender. I would only spend when I had the cash and did not depend on credit. It didn't matter though. Our spending habits combined nearly led to our financial demise a few years back too.
This is what I did and I hope you give it a try and it works for you too.
I started with a complete inventory of all of our bills, separating them into three categories.
Home (mortgage and utilities)
Credit cards - (lowest balance to highest balance regardless of the APR)
Miscellaneous bills (entertainment, clothing, food, gas, fast food, etc.)
Since the Home category is pretty consistent every month, I set up a budget for that first. I went back through our utility bill for the year prior and chose the highest month bill of the year and added that amount to our mortgage amount.
Next, I reviewed our telephone, internet, and television (satellite) bills. On average, I was paying about 230.00 per month for them all combined. Way too much in my opinion. I started shopping around and found a bundle package with Verizon. Now I pay 153.00 per month for unlimited long distance telephone, satellite TV, and DSL service. Saved $77.00 per month, just doing that.
Then I added this amount to the mortgage and utilities. This totalled amount is what I know I absolutely have to pay every month and I better make sure it's in the account.
Next, I did the Miscellaneous. I'm a paper keeper, meaning I keep EVERY receipt and then purge them about every 3-4 months. I started going over what was spent where and learned that we spent a lot more than we really needed to. I set up a weekly grocery budget and a fun budget. If there was anything extra at the end of the week, it was divided evenly between the two and added to the next week. I do this every week until the end of the month. If there is anything left over, that amount is divided in half again and half is divided again and added to the following week's budget (grocery and fun), the other half is locked away in the savings account.
The money for monthly gas was a little trickier when the gas prices skyrocketed. I first had a set limit for gas each week but did have to adjust that. I did manage to adjust it a little bit upwards and still be able to pay the cards down (see below.)
Also, every time I spend cash, no matter if the amount is $5.01 and all I need is a penny, I don't. Instead, I will give them $6.00 and get 0.99 change to put in my giant size espresso cup of change. When the cup gets full, the change is rolled and turned in to the bank as a deposit into the savings account. My cup last gave me $281.00 change to put in the savings account. That was in March. It's full again so will be adding at least that much to the savings account again very soon. Nobody touches the cup! They might lose a finger or even a hand!
That being said, and having two set amounts for each budget, I then subtracted that amount, plus the Household amount from our combined monthly income.
Lastly came the dreaded credit cards. To be honest, I was floored when I learned just how much credit card debt we had. My husband had wracked up over $40,000.00 in credit card debt alone. Since he paid his own credit card bills each month, I had no idea. Even worse than that, he is very inconsistent about paying his bills on time so he had late charges and the interest rates were way the heck up there. It was terrible.
I took each of his cards most current statements and started from the lowest to highest balance. The lowest one was about 1200.00 but the interest rate on it by that time was 22%. This is where I started.
I had him call the company and basically gave him a script to go by (my name wasn't on the cards or I would have done it myself). He requested a decrease in his APR on each and every card. Two of the five card companies agreed on the first call. The 22% card was reduced to 11% so they cut it in half. Not as low as I would like but it was a start. Another card was up to 31% and they reduced that to 20%. The other three didn't budge the first time.
This is where I made two 'necessary' purchases. The first one was MS Money software. I highly recommend it. You can set up your checking, savings accounts, print your checks, balance your checkbook in about 5 minutes, pretty much a no brainer software that really keeps you in line with your bills and spending as long as you remember to faithfully enter any debit card purchase in your check register provided with the software. It will also link to many banks to update your balances online. You can also set it up to remind you for upcoming bills. (Maybe if the husband had used this earlier, we would not have been in this situation?)
The second purchase was about $8.00. An accordion file folder for the monthly statements. Husband always threw his away and I can't even begin to tell you what a dumb idea that is. KEEP them. Organize the tabs for each bill and put your statement in when you pay each bill. I also write the date and the amount when I make a payment somewhere on the statement, then keep them in chronological order.
The actual payments came next. The smallest balance card was paid off first. All of other cards only got the minimum payment PLUS $1 more. I started doing this just for my own peace of mind I guess but I learned later that this actually helped us a bit when negotiating the lower APRs on the three more stubborn cards. It may have only been $1 extra but it was EXTRA payment and, believe it or not, they do look at that.
Excluding the card to be paid off first, I added up the minimum payments of the remaining four cards (plus the extra dollar to each of those) and decided on an amount to pay the lowest balance card to get that balance moving toward 0 as fast as I could.
In this case, I decided on 200.00. This left me with a little over 200.00 extra (I call it mad money but it really goes into savings anyway -planning ahead for birthdays, auto insurance, Christmas, and emergencies.)
I had that card paid off relatively quickly in a few months. When it was paid off, the card was cancelled and that 200.00 was added to the minimum payment (plus $1) on the next lowest balance card. After the first month of this, once again, had the husband call his credit card company and ask for a reduction in his APR. This time it was granted. Should also mention that this card was one of the three that refused the request the first time.
The first six months or so of this was a mildly painful transition. He was used to whipping out a credit card, I was used to having cash on hand for whatever I wanted. It wasn't going to happen anymore.
Finally, I was down to the last remaining card (754.00 per month payment by this time, having applied the payments for each card to the next as they were paid off.)
When I got to this point, I started shopping around for cards with rewards programs and started comparing those cards. The last card I was paying on also had a rewards program but not quite what I wanted. I wanted to know if the terms were negotiable. It was! How about that!
So, instead of losing a valuable customer the card company decided to keep me.
Now I get 3% back on purchases of most things as long as I pay the balance in full every month (which I do). Any kind of air or rail travel purchased with the card is a 6% reward.
I no longer use a debit card. The husband is not allowed to get a credit card again but instead, takes a certain amount of cash every week. Say what you want but he got us into this mess pretty much so he has to live with it now.
It's been a few years now working with this system but it has been very good for us. I find that I average about 400.00 per month AFTER the rewards bonuses kick in so essentially I am able to bank another $354.00 per month in savings. It adds up quicker than you might think.
Should also mention that we have two teens still at home and they can really be expensive. They were made a part of the plan and do their part to help out too. Their contribution is mostly the avoidance of fast food all the time. They can come home and have a meal or eat before they leave. Things like that.
Sorry for the lengthy post but hopefully I can help anyone else get out of a potentially bad financial situation like we faced.
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Is this the first house you are looking at? If so, absolutely do not buy this house without having many others to compare. This is a buyer's market - you have the advantage, bid low. Bid REALLY low. They can refuse the offer or they will counter offer. The longer the house sits this summer, the better your advantage. Find out how long it's been on the market versus how long others in the same area were. Compare sale prices of comparable homes in the neighborhood to this home.
From the area you describe, is this what you are willing to live amongst? If the chicken people have a rooster, you'll be listening to that all the time. If the area is "tired" looking, this will lower your property value, lower your property taxes, and lower your resale value. A home for sale can only bring in what the neighborhood is worth. Nothing is forever, and you will eventually be selling that house some day. You want to buy in an area where you will make money years down the road rather than lose on your investment.
An abandoned house with sheep in the yard? Say Joe Schmo somehow acquires the abandoned house, gives the sheep to a wool factory, tears down the house and puts up a car wash. That OK with you? Check out the zoning in the neighborhood. If there is an abandoned house with sheep, there are no restrictive covenants and DH should not have a problem with farm equipment, but go to town hall and find out. Do kids hang out in the abandoned house?
What the town has assessed the house for and what it sells for are two different entities. Again, it's worth what the neighborhood is worth, not what town hall determines it's worth - the town's assessed value is lower than the sale value 90% of the time.
Drive through the neighborhood on weekends, nights, all times of day. See what's going on in the neighborhood. Wild parties in the front yard? Kids all over the place? Quiet older neighbors? It's all what you are willing to live with.
By all means get PROOF of what utilities cost: electric, heat, water. Do not trust the real estate agent or owner to tell you. What you find out though is a variable. You may like the heat on 68 degrees in the winter, they may put it on 60. You could consider using a buyer's agent if you are new to all this. They work for YOU, not the seller. They negotiate on YOUR behalf. You usually pay them at the closing.
How old is the roof? How many layers of shingles on the roof? How old is the wiring, heating system, the pipes, and appliances? If there's a furnace, check out the age of it, records of it being maintained, check the filter yourself and see if it was ever changed. How old is the hot water heater and is it rented or owned? Is this a gas/oil/propane house? Is the house insulated and if so, with what? Is there an attic? Are there ridge vents in the attic or any other type of ventilation?
How old are the windows? Do they leak? Look for signs of water damage around them.
Check out the bathroom - ventilation? Ceiling fan? Window? Flush the toilet. Does it flush? Do you have to flush 3 times before a piece of toilet paper disappears? Check out the water pressure. Do the faucets drip? Are there stains around the drains?
Open closets, doors, drawers. Don't laugh: bring a level and use it. Put it on the walls, the floors, the ceilings.
Is the basement cinder block/poured cement? Dirt floor? Is there ventilation in the basement? Is it damp? Are the joists "punky" - can you stick an ink pen in the wood? What's holding up the first floor? Lolly columns? Is the main carrying beam bowed? Bring a flashlight, look for mold/mildew. When you are in the basement, look for water lines on the foundation. Are belongings up on pallets? When you are down there, look up. Check out how the wiring is hung. Does it look new? Are they frayed? Fuses or circuit breakers? Look around the electric box for singe marks. Direct access from basement to outside? Bulkhead?
Your state may require a radon test at the home owner's expense. Tricky situation. They put the test canisters in the basement, you leave, they open the windows, put a fan on, etc, and wham: perfect test results. There may be some type of test where that can't happen - I'm not sure on that.
You don't live in the northeast because you can't find land for the price you said this house is, so are there termites/powder post beetles/carpenter ants? All can cause havoc.
Septic or town sewer? Well or town water?
Is the house in a flood zone where you are required to buy flood insurance from your lender, if you are using a lender?
Carpets are cosmetic, don't even factor that in unless that is the only thing you can find wrong. Gutters are the least of your problems. You don't need gutters to live in the house. If you do, they are relatively cheap and easy to install. Save it for later. A handyman can put them up for a reasonable price.
A MUST is a home inspector that YOU hire, not one the real estate agent recommends (conflict of interest big time). Pay the money to have a professional look at the building. A home inspection is worth its weight in gold. He will find a multitude of things wrong. I had one that pointed out the bowing of a foundation wall that you could only see when you placed the side of your face against the wall and looked down the length of it with one eye closed. You want the structural integrity of the house determined. Pick the most expensive or the most important things the inspector finds that matter to you and that is your negotiating factor when the time comes. Home inspectors are not used until after an offer has been made and accepted. You then negotiate the final price based on his findings.
There are very few perfect 'used' homes. An inspector should point out everything I've mentioned, and then some. The key is you need a very reputable inspector. They must be licensed - check them out before you hire. Ask for references. Ask the town's building inspector to recommend someone. Make sure it isn't his brother-in-law.
Buying a house is a huge undertaking, but if you are well educated in the process, have the help of an inspector, and buy with your head not your heart, you will do well. Think it through, don't rush. The last thing you want is a money pit or the neighborhood from the Land of Satan. Look past any messes and clutter, though that's a good indication as to how they have maintained the home. Look past paint and light fixtures. Cosmetic fixtures should not even be considered. Those are things you can do little by little if need be. For every one house you fall in love with, there are 5 more that will come along. Seller's real estate agents are scary. You have to play the game, show them you know what you are doing otherwise they will walk over you. It's scary, but it's exciting at the same time. Wait until you have to sell a house...now THERE is a nightmare!
I wish you all the luck!
See my post above about paying off the credit
Sure, banks need to make a profit just like everyone else. But businesses throughout the whole country have become so money-hungry that they continue to cheat their customers more and more, in the name of making more and more money for themselves. MTSO's cheat us in order to make more profit. Insurance companies cheat us by making us pay more and more, and in turn denying more and more of our healthcare costs. Food companies cheat us by not only charing more for their products, but also by putting less and less in the box or the wrapper. (Cereal: Used to be about 3/4 full, now it's more like 1/2 full. Granola bars: Remember when 1 granola bar was an actual snack? Or even breakfast? Now the wrapper is the same size, but the bar is a mere shadow of its former self.) The banks cheat us by raising the rates or charging for services that used to be free. Mine recently starting nicking my checking account for $35 as 'overdraft protection' when my account became low. Now get this: I never bounced a check. I never wrote checks for more than was in my account. There was always at LEAST $25 in my checking account. But they would decide it was too low, nick me for the $35, and then surprize! My account is then MINUS $10! So what do they do? They charge me again!
I'm considering doing away with the bank entirely, including checking, and only using a pre-paid debit card. Now if there were just a way for our MT paychecks to electronically go into a bank-free debit card, instead of into the bank, then VOILA! Bye-bye, bankie.
see message with above post, please.
nm
See who I picked in my message on first post.
xx
Very excellent post - see message
Is there such a term as "very excellent" ? :-)
You are right on and I couldn't agree with you more.
The only problem is that the govt would never "regret" anything. If they get their way and force this child to take chemo and the child dies, their view point is "oh well, at least we got our money" I have found over time the govt does not really care about the people, as we can see what is happening in our govt today.
This should be a matter between the parents and child. Not the government.
I believe the mother should do everything she can to save her child, and if something happens to him at least she tried and she should have no regrets about that.
But yes, there is plenty of stuff in my life I regreted doing, but I have learned to live with my decisions. As you sais - it's our choices and this is how we grow and expand our minds.
I do hope she makes it to wherever she goes and he is able to get alternative treatment and everything works out for the best for them.
Very excellent post - see message
Is there such a term as "very excellent" ? :-)
You are right on and I couldn't agree with you more.
The only problem is that the govt would never "regret" anything. If they get their way and force this child to take chemo and the child dies, their view point is "oh well, at least we got our money" I have found over time the govt does not really care about the people, as we can see what is happening in our govt today.
This should be a matter between the parents and child. Not the government.
I believe the mother should do everything she can to save her child, and if something happens to him at least she tried and she should have no regrets about that.
But yes, there is plenty of stuff in my life I regreted doing, but I have learned to live with my decisions. As you said - it's our choices and this is how we grow and expand our minds.
I do hope she makes it to wherever she goes and he is able to get alternative treatment and everything works out for the best for them.
I agree with your post - see message
I have 3 jobs and keep putting my resume in for jobs doing whatever it takes to get hired on somewhere that will give me benefits.
You are so right that in our industry you can't depend on just one. I have seen companies fail and if you are dependent on one you are going to go down with them - and they never tell the employee ahead of time. Also with the economy the way it is there is just nothing that is guaranteed anymore.
I have a husband but he doesn't work (can't finding anything, and think he's going through a midlife crisis), so that leaves just me. I'm the one who has to do it all and I do and I don't complain about it. When he sees me typing all the time he says he feels bad, but I told him I do what I gotta do because we have bills to pay and need to eat and have a roof over our head. I was brought up to believe you do what you have to do and you don't complain about it. If you are unhappy then you change the situation. We all make the lives we live. For us this certainly is not the perfect situation but I'm doing my best to change and improve it.
I too am in my 50s and I've been taking home study courses (along with working 3 jobs), also to transition to something different. One never knows what path the MT will be. I hear more and more about jobs going overseas, or the current administration doing whatever they are going to do to health care and that could change a lot. I just think it is wise to have another skill.
To the OP - if you are reading this all I would suggest is that if you can't stay with relatives try looking for a studio or something very cheap. It may not be your ideal place, but do whatever you can to find yourself another job. Search, search, search the local newspapers, employment boards here, there's a ton of websites for jobs. If you have to work every day and more than one job do it. Take whatever you can get and then work on getting something better. I wish you all the luck.
forgot to put see message in my post. And it is only Monday. nm
nm
Long post gone sm
 Of course, we have too much else to read here, the list goes on. Why share someone's true battle with work and cancer DX? Someone dumped their heart out and it's too long!
Scared mom --sorry for the long post
I am the widow of a man who served his country PROUDLY in the Army for 21 years, retired and later developed cancer as a result of Agent Orange while serving in Vietnam. As a result, I have certain military "privileges", however, the VA turned around and changed his diagnosis from "cancer of the larynx" which was his ORIGINAL diagnosis made by a civilian doctor, to "cancer of the hypopharynx which was made by his VA doctor and hence, this was NOT covered by Agent Orange and as a result, I have lost monetary compensation to the tune of right now, approximately $300K, however, I do have other benefits.
I regress, but getting back to your original post, my daughter joined the Army VERY shortly before the Iraq war started and was stationed in New York State when 9/11 happened, needless to say, I was a nervous wreck as she had JUST moved with her then husband and I did not have her new phone #. Thank heavens for a Sprint directory assistance operator who understood the situation and even though they had a nonpublished number put me through to their residence anyway.
Women in the military are subjected to testing regarding vocational skills, just like their "male counterparts" -- for example my daughter was actually into more of the satellite communications end of things and NEVER saw or would have never seen combat. She PROUDLY served her country for 3 years, received the money to go to college, has remarried, has her own home, a soon to be 2-year-old daugther and is finishing up her nursing career as well as working.
The other side to this picture is that with a military career, if she decides to make it a CAREER and "advances", she can retire at a relatively early age (at least early to mid 40s) and have a lucarative retirement income for LIFE, as well as being still young enough to pursue other opportunies in the "civilian world."
Hope this helps.
Why does closing a credit card account negatively affect your credit report
Especially when I never use it anyway, and really never wanted it?
With all the bank rearranging going on in the past few months, one of my accounts was tranferred to Bank of America. I was sent new cards and a new agreement, new interest rate etc...
So I called them up and cancelled but before they did, I had to listen to a spiel about how this would negatively affect my credit report.
Huh?? Why is that?
buried money
My cousin's home looks like a junkyard. His children say when he dies they are just going to blow up the place. He has money buried all over the yard, money hidden in his barn, in his house, in his basement. His wife has found money in coffee cans hidden all over the property. My sister was doing some gardening there a few summers ago and came upon a coffee can buried that had $400 in it. You really can't judge a book by its cover. When you pass by their house, you would actually feel sorry for them. He owns practically a whole town but having material things is not important to them. Unfortunately, he is the only one who knows where everything is at. 
I have been to 2 funerals where the ashes were buried. sm
I really never understood the reason for the cremation and then the burial but I know it is done. My brother never picked up the ashes for the same reason you marriage went sour.
the man raped and buried a child alive
and the question encouraged him to have an excuse or reason for doing what he did.
I have put down several pets and buried at home; vets will provide a box
nm
I don't know where you live, but all of our family pets are buried at their homes. SM
I truly feel for you and am actually hurting looking at this beautiful dog's picture. What a joy they are, and such a wonderful breed. I pray everything you want to do for him is a possibility. Just try to remember, the love never, ever ends. That is permanent, and nothing and no one can take that away.
the underlying read-between-the-lines message of the insurance lobbyist's message was (sm)
to, yes, appeal the denied claim. However, she lobbies for the insurance companies. She comes across sounding like she's on the patient's side but in reality she is on the side of the insurance company. The insurance company gets to deny whatever claims they want right off the bat. That leaves the SICK patient (who needs the coverage NOW when they are sick) to have to go through the appeals process. That could take quite a while. Imagine a cancer patient being denied some form of treatment that is going to help them. They now have to go through the appeals process (or pay out of pocket) in order for that treatment to be covered. In the MEANTIME their cancer is progressing. From the point of view of the insurance company, if they drag it out long enough they don't have to pay for it at all. That same insurance lobbyist was on 20/20 a little while back and basically came right out and said that the insurance companies COULDN'T AFFORD to pay for coverage for sick people. She's not on the patient's side.
Depends if it is long with pregnant pause um no. If it is long and juicy like an op YEP! Short ones
x
I had it during my pregnancy a long, long time ago. Husband
aa
How long is too long to wait for Pap results?
This is a follow up Pap for an abnormal one a few months back. I have waited for the results for over a month and have called the office once. Any advised about being a patient patient - LOL. Its hard when your in this business, I think anyway, not to be more aggressive about stuff like this.
credit
My girlfriend did use the service. It worked great for them. It also put all their payments in one. The only thing is you need to watch what "items" you put under the service because it will keep you from purchasing items for so many years.
credit
I have used Consumer's Credit Counseling Services locally. They were wonderful to me. Put me on a generous budget, put all my bills under one payment (had to cut up all credit cards - which was a blessing and freedom after I got used to it), cut the credit card interests way-way-down or to none, and finally got everything paid. At first there was no charge from them, but later I paid $5 a visit, but I imagine they have surely put a low charge now. They were pretty strict with me (which I needed), but it worked. They were always accessible to talk with, which I really liked too. Also it was nice to refer callers to them, saying, "I am a client of CCCS and they are helping me" and not have to deal with the callers any more. In fact, after they were notified of intent to pay by CCCS they never called again.
Good luck. It meant freedom to me.
credit
I did hear that credit counseling is reported to the credit bureaus, but so are late payments, over-limits, missed payments, etc., etc. so ultimately I don't imagine it could ding your credit score any worse.
credit
I don't know the answer to that. We have only bought cars and a house on credit since then. Be sure to talk to the credit counselor before signing up and find out. They will know.
Credit card (SM)
There was information about credit cards and interest rates going around late last year/early this year. Basically, from what I understand with the new bankruptcy law this was attached to it. The credit card companies can and will charge you and me whatever interest rate they want to, and the only thing we can do is cancel the card and pay off the balance. There were these little inserts with your statements that many of us just throw away and never think about it. But I did read the ones that were sent with several of my statements, and I kindly told them to keep my rate where it was and I canceled the card. Sad but true. 
NO more credit cards
I had a credit card with a high balance. I got a second mortage to pay it off. I called the credit card and got the payoff balance and my bank sent a check to them. I kept watching on line to make sure they got it and when they did I noticed that there was a $95 credit. So, I called and said how do I get my money back. They sent me a check and when I got it, I called and closed the account. This was about two weeks ago. Today I get a statement from them with a balance due of $45! Huh??? I called and they keep telling me it is a finance charge. I got pretty steamed and finally ended up saying that I would pay it, but no more. Well, I wrote out the check and put in in the mailbox, but I'm still stewing about this. If I still owed them money, why did they send me a credit?? What is the finance charge on if I had a credit balance? I suppose I will just pay it because they will only keep tacking on even more charges, but it is really bugging me. Has anyone else had any experience with this??
I will say one thing - NO MORE CREDIT CARDS EVER EVER EVER. REALLY. I mean it this time.
About my credit card
I owed close to $10,000.00 about 2 months ago on my credit card and called to make sure I sent the right amount as paying it off. After I paid in full, they also sent a "finance charge" for around 35 to 40 dollars. I paid that but have discontinued using that card. I have another card, used during Christmas, interest about half of the other one and getting that paid off before long also, just sent $500.00 towards that yesterday. I on the first had asked for payoff amount but the finance not there when I asked.
Our credit was very shakey (sm)
when we bought our house 6 years ago and we have now (both husband and I) been ICs in this biz for 11 years. As an IC you are supposed to work for different companies according to the IRS so you could really jam yourself up if you got a letter like that from your current company. Personally - I would refuse and find another mortgage company. I had a very young and inexperienced mortgage person when we refinanced our house through a credit union - it was literally a nightmare - I don't have the time anymore! If you have good credit move on and find someone who appreciates your business
ruined credit????
Went to work for a company about five years ago. The pay was EXCELLENT, however, they paid me "when they got around to it." Now my credit is so terrible I can hardly qualify for a home loan!!! Has anyone else experienced this problem???? Still suffering after having quit four years ago!!!!!
Sorry to say, but you have proven yourself a bad credit
x
Not the only way, my credit just restored on its own
after years of not having as posted below, went and had a clean slate just as if no credit at all in my life, went from bankruptcy to nothing bad about me, nothing! I did learn how to be responsible after that time though, now have excellent credit rating.
Credit for your daughter
As DW stated, federal loans are given to students - have her go to financial aid office/web site of school and see what she needs to do to apply for them.
Does your daughter have a credit card? Yeah, I know, scary thought, but the sooner they can establish good credit, the better off you all are. My son has a card for college students from Citi Bank. He's had it since senior year of high school and I tell him to use it for EVERYTHING. Gas, pizza, books at school, etc. He keeps track (amazingly) and pays the card off every month so he never gets charged interest. His bill is usually for under $50.
He's been having problems with his cell phone, it's already been fixed once, yet the same problem keeps happening. The contract for the phone was up last week which means he could get a new phone for next to nothing provided he renew for another two years. I told him I'd buy him he new phone for a Christmas present. I've been paying his cell bill of $45/month for years. He wanted text messaging added to his plan. I told him I will only pay the $45, he can pay the difference if he wants to text his friends because NWIHAIPFI so he can ask his BFF what time they can meet for lunch when he could just call the dude and leave a message if he isn't there! Well, a two-year commitment with the phone company would bring us to 6 months AFTER he graduates from college and he could be in Madagascar by then for all I know with the cell bill still coming to me. I asked the cell phone company if the contract can go in my son's name. They told me no, because his credit rating as a student wouldn't qualify him. I asked them to check anyway. They did, the woman was shocked, he was approved, and now he has a new contract with text messaging for $10 more and the bill goes to him! I'll deposit $45 in his checking acct every month and he can write the check.
This is partial payback for the night I had to spend in a battleship with 400+ other Cub Scouts and their fathers when my son was little. Hot dogs and beans was the dinner. Need I say more? Bunks stacked 5 high with me on the top bunk and hot air rises. He will owe me for that for many years to come.
I think its credit cards...
The newspaper had an article the day after Christmas how people are defaulting on their credit cards all over the place. This added to the mortgage companies having problems with people unable to pay their balloon payments and the bad housing market, price of gas is sure to lead (the article said) to a recession.
When I was shopping I saw all the people with tons of things in their carts, DVD players, computers, etc. on Christmas eve. This was regular people at Walmart. I saw a lot of credit cards flashed around. Paying minimum payment will cause Christmas to cost tons more and they will be paying beyond the item's life which they purchased.
We went through this. We tried to sell our house, rented to own another and went broke in 3 months. After we had 2 house, fell back on credit cards the interest piled up and it was terrible! We moved back and are on a budget. So, I shopped without credit this year, and you know what? I had more fun. And I have 3 kids. Their things were simpler than the fancy things they got last year. The most expensive things we got were bikes because they are growing and we got those on sale. The rest were creative items. I am not saying that what we did is so great. What I am saying is that peeople are not looking at the big picture these days and if they do not use cash (as we had not in the past), they may not be able to pay their debt if hard times fall. In the meantime, grandpa sent my son 100 bucks, which I let him spend on a train set (I should not have let him do that he is 7) and he cried that his money was all gone and he did not want the train set anymore. I bet if I had him save some of it and had him buy simpler things, well I bet he would not have been crying. At least at age 7 he is learning that money is not easy to come by. And he is learning the hard way because I will not give him more money to replace what he spent. Sorry such a long message. It is just that we did not even afford an XBox, and I wanted a Wii myself, but we avoided all of that because in the end we learned that Christmas is not about credit cards, the junk it buys. I think the end of the cartoon the Grinch where the Who people did not even care about the presents was correct. Maybe we'd be happy with less things and more love. I don't know. This was not meant to be a sermon forgive me. We all have to learn what Christmas means to us and I say let people do what they want, consequences are always result of actions anyway. Just IMO. Happy New Year everyone!
Can't take credit for the idea.
When I was in my late teens I nannied for a very wealthy family who bought a truck load of stuff from a children's hospital as well as made a huge donation and I spent WEEKS handwriting "A donation has been made in your name" to this hospital and then including a sweatshirt, t-shirt, mug or whatever else they bought.
credit counseling
I did use one, but in retrosepct I don't think I would do it again. It ends up lowering your payments or your interest a little, but they also charge you a monthly fee - mine was 35.00. All they basically do is pay your bills for you with what you send them. It takes a good 2-3 months to get set up and working and by that time your bills are even more overdue. I think your best solution is to talk to all your creditors and be disclipined about paying to the exclusion of having a life until you are caught up. I finally got out of the hole, but it was hard and seemed like it would never happen. Good luck to you. You can do it.
which could damage your credit
x
they can be put on your credit report...
I know for sure b/c I have one on mine. :(
credit card
I've not had personal experience, but I know to be wary of some of those companies that advertise. I saw a financial advisor on the Today Show and she said to make sure you go with Consumer Credit Counseling; maybe there's a link on the Today Show website. Good luck!
credit debt
Wow thanks for all the good tips.
As this got off the subject and onto other things, I just wanted to say I have heard Al-Anon is excellent for people dealing with alcoholism in a spouse or other loved one. It might be a great place for support for you and your kids. Just a thought.
Pay off our credit card
And with the little we'd have left just put it in the bank
Credit Check
For several years now almost all employers have been running background and credit checks on all employees before they are hired. It has nothing to do with "your son". It is now common practice. Most likely if he is behind on his child support as soon as he gets a job they will attach his wages for payment. Alot of employers do not want to deal with the paperwork involved with that kind of stuff. The stigma of not paying your bills may soon change with the state of the economy and employers may start taking a different look at it. Did your son go to court and file to get his child support adjusted given his unemployment status? That would have helped him at least not be so far behind and may keep him from wage attachment when he does get a job.
At any rate don't get so upset, it is common practice for employers to do credit and background checks on every employee now (in fact your son probably signed the paperwork authorizing them to do so) and they use the results to make their hiring decisions.
credit card debt
Not sure what will happen, but I do wish you luck. Credit card debt is an unsecured type of debt. I don't know what more they can do to you other than a judgement. Not sure you can put that under a bankruptcy either once the judgement has been placed. I know a lawyer that handles a lot of bankruptcies -- did some work for him. He always asked his clients if late payments had gone to judgements. If they had not gone that far he was pleased about it. I guess it made things easier legally. Not really sure.
Your credit is ruined because you didnt do anything about it
x
Homeless has nothing to do with poor credit.
nm
You let credit get bad before house sale.
s
How my daughter got her credit started
I years ago put my son on my credit card and paid it well and then he automatically had great credit. My daughter got credit with a small amount at a store here in town that would give credit easily. I told her to do this, pay the payments as she should and even a little more and there it was, good credit for her. She now has ecxellent credit and has loads of past and present accts she has been responsible for.
I use my credit card!!!! Priceless!
Actually it was an expired one. Hubby laughed. I use Dawn Power Disolver in the blue bottle. Works wonders. Then IF I have to scrape I have used the credit card of course, but fine metal spatula or a razor, but I use one of those like you scrape paint with that has the handle like an ice scraper.
But doesn't it ruin your credit?
I would like to just consolidate mine into one large payment. I am not having problems paying the minimums now but it's gotten to a pretty high amount combined and I fear I'll be paying forever.
However, I have heard doing this ruins your credit.
Is that the case?
TIA
Free credit reports
A lot of people don't know this, but you can get FREE annual printed copies of your credit reports online in seconds from the 3 major credit companies.
There are a lot of online companies out there saying you can only get this information if you pay for it and try to get you to sign up for some type of credit services. Not true.
''This central site allows you to request a free credit file disclosure, commonly called a credit report, once every 12 months from each of the nationwide consumer credit reporting companies: Equifax, Experian and TransUnion''.
www.annualcreditreport.com
is the official site to help consumers to obtain their free credit report.
Hope this helps others : )
I can't take credit...someone else posted it a few days ago.
I just did a search here for "monitor sideways". It must be 5yo screw up monitor season! LOL
if it does show up on your credit report sm
You could try to get it removed. Tell the credit agency to remove it because you don't owe the money, that you sent a certified letter within 7 days to cancel this and that legally you don't owe it. Check out the state attorney general's office. If it were me, I would not pay it. If it does end up on your credit report, i don't know if paying it will get it removed.
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