So what do you people say? Could I call the credit card company to see if they could lower my interest rate or the minimum payment each month? Does anyone know the way to do this?
Yes, I think you can talk to your creditors before even defaulting on your payments. If you default on your payments the creditors may increase interest rates on your card, can charge you late fees, can lower the credit limit. So, it is better to talk to the creditor before going delinquent.
Talk to them about the financial hardship you are in, and request them for a repayment plan. Ready copies of your monthly income and expenditure to prove your inability to continue the payments. Get the payment agreements in writing.
Aaron _________________ Keep in touch
Subject: credit card payments
Tue Sep 21, 2010 11:20 am
Sabra, you can also try settling your credit card debt as debt settlement lowers the outstanding debt amount by 40-50%. thus, it becomes much easier to pay off your debts.
Your personal details (name, email address and phone number) will be delivered to the company advertised on the Creditmagic after ve agreed to go for the counseling session by filling out the no-obligation form. However, it is your discretion to accept or reject their services.
Not all the creditors/debt collectors agree to trim down the outstanding balances, interests, and fees payable by the consumer.
Consumers working with the debt relief companies can still be sued by the creditors/collection agencies.
Debt relief services may have a diminishing effect on the creditworthiness of the consumer. The total outstanding balance may increase as the additional fees get accrued.
The overall amount saved by the consumer through the debt relief services is considered as taxable income by the IRS.