Or Any Web Sites I Could Take A Look At?
Q: we have $10K in credit card debt that we have been paying on for almost 3 years through a debt reduction program. the interest rates were dropped to 8% on most of the cards (4) but we arent getting anywhere w/this situation. we still owe what we started out w/3 years ago. we are considering calling the creditors and asking them to settle, maybe add up what we've paid in the last 3 years and see how much that amounts to versus our original debt (without interest). any suggestions on how to go about this, or any web sites I could take a look at? any help will be greatly appreciated.
A: I don't see any real legal question here, but since the mods approved it I'll offer my two cents. I don't understand how this can be. 8% is rather a low rate, and your "debt reduction program" would have structured payments so that your payments would cover interest plus something on principal. Is there something you're not telling us, such as that you are still charging on the cards? Talk to a consumer credit counseling service (a real one, not a finance company that calls itself a counseling service). See /Consumer Reports/ for July 99 for some hints. But again, if you're not making a dent in your debt at 8% but are making all payments -- well, mathematically it sounds as though you are adding more debt. You need to stop doing that. Cut up the cards or put hem in storage somewhere where you can't get at them until the debt is paid.