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  #1  
Old 04-30-2014, 10:46 PM
puglover05 puglover05 is offline
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Default Paying Down Debt Question on Scenario

So I have been trying to get out of debt for awhile but as you all know it is a vicious cycle. I basically do not make enough to put down more than the minimum payments and live check to check.

No savings and sadly no retirement fund yet.

I was considering bankruptcy but wouldn't qualify for ch 7 and not sure how I would manage on ch 13.

I have contacted credit card companies to see about deferring or lowing interest or even minimum payments but because I am on time and not late on anything there's nothing they can do.

I was considering take a credit card each pay and either paying it off or as far off as I can and paying whatever I can on others and rotating them around so not one goes really really late, while keeping my mortgage and vehicle current. While doing this some are going to go late, obviously. I know this will hurt my credit score. I don't need a home, and don't need a new vehicle and don't need any more credit.

So I guess my question is, if I take this approach how badly will it destroy my credit? How long will late payments show on a credit report? And how long does it really take for them to sue, and if they're at that point due to being late I would just make some kind of payment.

Thoughts? Advice? I just can't really think of any other ways. There is no room in my budget to really budget better.
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  #2  
Old 05-01-2014, 11:45 AM
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DavidBibby DavidBibby is offline
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Default Re: Paying Down Debt Question on Scenario

PugLover,

It's not a good idea to use one credit card to pay another. Cash advance fees are Killer and Balance transfers aren't that great either.

If you must be late with ONE of them. So be it. But try to keep the other ones current.

If you can list out your credit cards like below... I can help you figure out what to pay off first.. second.. third.. etc.

Like this: Name - Balanance - Rate - MinPayment

Credit Card 1 - $1000.00 - 28.9% - $80
Credit Card 2 - $2500.00 - 12% - $130

Just list the ones you have... you don't have to name the banks that they come from.

I'll help you decide which ones to concentrate on and I can also tell you how soon you'll be DONE with them.

Thanks!
David.
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Old 05-01-2014, 12:16 PM
puglover05 puglover05 is offline
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Default Re: Paying Down Debt Question on Scenario

What I mean is when I get paid, instead of draining my check paying all the minimum payments taking cash paying 1 off if I can, If not putting a huge chunk down on one and using whatever I have left to pay whatever I can minimum wise. My problems is I have so many minimum payments that by the time I pay them all I have no cash left and have to turn around and use the available credit I made by making a payment on it.
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Old 05-01-2014, 12:45 PM
puglover05 puglover05 is offline
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Default Re: Paying Down Debt Question on Scenario

Ok here we go....

I get paid biweekly. I clear 1500$ after taxes. My mortgage is 1056 a month, cable/internet 200$ a month, electric roughly 175$ a month, and vehicle 457$ a month.

C1-$5,094 mp $147 IR 22.9%
C2-$4938 MP$ 147 IR 15.24%
C4-$2701 MP $183 IR 22.49%
C4-$1858 MP $50 IR 24.99%
C5-$1750 mp $86 ir 24.99%
C6-$1452 mp $50 ir 26.99%
C7-$1268 mp $50 ir 24.99%
C8-$1230 mp$ 35 27.45%
C9-$832 mp$ 50 ir 24.99%
C10-$750 mp $35 ir 15.80%
C11-$750 mp$ 35 ir 15.80%
C12-$720 mp $25 ir 26.99%
C13-$589 mp $60 ir 24.99%
C14-$555 mp $25 ir 22.8%
C15-$496 MP$ 25 IR 18.24%
C16-$488 mp$ 39 ir 23.99%
C18-$1528 mp $75 ir 24.99%
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  #5  
Old 05-01-2014, 01:59 PM
puglover05 puglover05 is offline
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Default Re: Paying Down Debt Question on Scenario

So essentially I have more going out then coming in. I also have some medical bills I have put off I need to at least make some kind of payments on. My thinking was, bankruptcy would kill my credit, might as well let a few go late and try and get caught up somehow.
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  #6  
Old 05-15-2014, 12:18 PM
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DavidBibby DavidBibby is offline
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Default Re: Paying Down Debt Question on Scenario

PugLover,

I have plugged in your numbers into my Debt Elimination Program.

I can only guess at how stressed you are.

From your list above. The C13 Credit card is the one that you should focus all your energy into paying off. Pay the minimums on all the rest, and if you can't.. let C4 or C8 get behind in payments.

The main thing is that you MUST reduce the number of cards you have. You MUST pay these off and CLOSE these accounts. You have far too many open do be doing your credit any good.

If you follow the plan below. You could have all your debt paid off in 33 months.

When you pay off a card... use the payment from that card and apply it to the next one... and so on.

Here's what my Debt Eliminator came up with Verbatim:

Your 1st identified target is the C13 Credit Card
Today you have a balance of $589.00 and a monthly payment of $60.00.
It will take approximately 12 months at $60.00 to pay it off.
Total in Payments: $665.75
Total Interest Paid: $76.75
Total Interest SAVED: $0.00

Your 2nd Target is the C16 Credit Card
Today you have a balance of $488.00 and a monthly payment of $39.00.
You’ll have already made 12 payments of $39.00 when you reach this debt.
Once the previous debt is gone, your C16 balance will be $128.70 and your payment will increase to $99.00.
It will take approximately 2 months at $99.00 to finish it off.
Total in Payments is $564.44
Total Interest Paid: $76.44
Total Interest SAVED: $2.77

Your 3rd Target is the C3 Credit Card
Today you have a balance of $2,701.00 and a monthly payment of $183.00.
You’ll have already made 13 payments of $183.00 when you reach this debt.
Once the previous debt is gone, your C3 balance will be $867.91 and your payment will increase to $282.00.
It will take approximately 4 months at $282.00 to finish it off.
Total in Payments is $3,176.29
Total Interest Paid: $475.29
Total Interest SAVED: $15.12

Your 4th Target is the C9 Credit Card
Today you have a balance of $832.00 and a monthly payment of $50.00.
You’ll have already made 16 payments of $50.00 when you reach this debt.
Once the previous debt is gone, your C9 balance will be $235.83 and your payment will increase to $332.00.
It will take Less than a month at $332.00 to finish it off.
Total in Payments is $1,021.35
Total Interest Paid: $189.35
Total Interest SAVED: $10.75

Your 5th Target is the C15 Credit Card
Today you have a balance of $496.00 and a monthly payment of $25.00.
You’ll have already made 17 payments of $25.00 when you reach this debt.
Once the previous debt is gone, your C15 balance will be $174.69 and your payment will increase to $357.00.
It will take Less than a month at $357.00 to finish it off.
Total in Payments is $585.39
Total Interest Paid: $89.39
Total Interest SAVED: $9.41

Your 6th Target is the C11 Credit Card
Today you have a balance of $750.00 and a monthly payment of $35.00.
You’ll have already made 17 payments of $35.00 when you reach this debt.
Once the previous debt is gone, your C11 balance will be $279.65 and your payment will increase to $392.00.
It will take Less than a month at $392.00 to finish it off.
Total in Payments is $872.35
Total Interest Paid: $122.35
Total Interest SAVED: $14.60

Your 7th Target is the C10 Credit Card
Today you have a balance of $750.00 and a monthly payment of $35.00.
You’ll have already made 18 payments of $35.00 when you reach this debt.
Once the previous debt is gone, your C10 balance will be $257.09 and your payment will increase to $427.00.
It will take Less than a month at $427.00 to finish it off.
Total in Payments is $874.60
Total Interest Paid: $124.60
Total Interest SAVED: $12.35

Your 8th Target is the C5 Credit Card
Today you have a balance of $1,750.00 and a monthly payment of $86.00.
You’ll have already made 19 payments of $86.00 when you reach this debt.
Once the previous debt is gone, your C5 balance will be $668.73 and your payment will increase to $513.00.
It will take approximately 2 months at $513.00 to finish it off.
Total in Payments is $2,247.95
Total Interest Paid: $497.95
Total Interest SAVED: $52.10

Your 9th Target is the C18 Credit Card
Today you have a balance of $1,528.00 and a monthly payment of $75.00.
You’ll have already made 20 payments of $75.00 when you reach this debt.
Once the previous debt is gone, your C18 balance will be $501.72 and your payment will increase to $588.00.
It will take Less than a month at $588.00 to finish it off.
Total in Payments is $1,974.66
Total Interest Paid: $446.66
Total Interest SAVED: $34.42

Your 10th Target is the C14 Credit Card
Today you have a balance of $555.00 and a monthly payment of $25.00.
You’ll have already made 21 payments of $25.00 when you reach this debt.
Once the previous debt is gone, your C14 balance will be $199.32 and your payment will increase to $613.00.
It will take Less than a month at $613.00 to finish it off.
Total in Payments is $711.31
Total Interest Paid: $156.31
Total Interest SAVED: $16.35

Your 11st Target is the C7 Credit Card
Today you have a balance of $1,268.00 and a monthly payment of $50.00.
You’ll have already made 21 payments of $50.00 when you reach this debt.
Once the previous debt is gone, your C7 balance will be $664.84 and your payment will increase to $663.00.
It will take approximately 2 months at $663.00 to finish it off.
Total in Payments is $1,714.26
Total Interest Paid: $446.26
Total Interest SAVED: $107.66

Your 12nd Target is the C2 Credit Card
Today you have a balance of $4,938.00 and a monthly payment of $147.00.
You’ll have already made 22 payments of $147.00 when you reach this debt.
Once the previous debt is gone, your C2 balance will be $2,843.72 and your payment will increase to $810.00.
It will take approximately 4 months at $810.00 to finish it off.
Total in Payments is $6,122.11
Total Interest Paid: $1,184.11
Total Interest SAVED: $356.59

Your 13rd Target is the C12 Credit Card
Today you have a balance of $720.00 and a monthly payment of $25.00.
You’ll have already made 26 payments of $25.00 when you reach this debt.
Once the previous debt is gone, your C12 balance will be $423.51 and your payment will increase to $835.00.
It will take Less than a month at $835.00 to finish it off.
Total in Payments is $1,064.37
Total Interest Paid: $344.37
Total Interest SAVED: $108.43

Your 14th Target is the C6 Credit Card
Today you have a balance of $1,452.00 and a monthly payment of $50.00.
You’ll have already made 26 payments of $50.00 when you reach this debt.
Once the previous debt is gone, your C6 balance will be $852.47 and your payment will increase to $885.00.
It will take Less than a month at $885.00 to finish it off.
Total in Payments is $2,164.60
Total Interest Paid: $712.60
Total Interest SAVED: $215.72

Your 15th Target is the C1 Credit Card
Today you have a balance of $5,094.00 and a monthly payment of $147.00.
You’ll have already made 27 payments of $147.00 when you reach this debt.
Once the previous debt is gone, your C1 balance will be $3,369.07 and your payment will increase to $1,032.00.
It will take approximately 4 months at $1,032.00 to finish it off.
Total in Payments is $7,458.16
Total Interest Paid: $2,364.16
Total Interest SAVED: $960.72

Your 16th Target is the C8 Credit Card
Today you have a balance of $1,230.00 and a monthly payment of $35.00.
You’ll have already made 31 payments of $35.00 when you reach this debt.
Once the previous debt is gone, your C8 balance will be $935.31 and your payment will increase to $1,067.00.
It will take Less than a month at $1,067.00 to finish it off.
Total in Payments is $2,014.32
Total Interest Paid: $784.32
Total Interest SAVED: $506.69

Your 17th Target is the C4 Credit Card
Today you have a balance of $1,858.00 and a monthly payment of $50.00.
You’ll have already made 32 payments of $50.00 when you reach this debt.
Once the previous debt is gone, your C4 balance will be $1,369.25 and your payment will increase to $1,117.00.
It will take approximately 2 months at $1,117.00 to finish it off.
Total in Payments is $2,958.68
Total Interest Paid: $1,100.68
Total Interest SAVED: $647.59

SUMMARY

Total Plan Time: 33 months.
Total of all Payments: $36,190.59.
Less Principal: -$26,999.00.
Total Interest Paid: $9,191.59.
Total Interest SAVED: $3,071.28.
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  #7  
Old 05-17-2014, 01:27 AM
puglover05 puglover05 is offline
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Default Re: Paying Down Debt Question on Scenario

Thank you so much for the help!
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  #8  
Old 03-21-2016, 08:47 AM
olayak olayak is offline
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Default Re: Paying Down Debt Question on Scenario

Go for consolidation
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