Hello I am a single employed mother of two and I have bad credit. Most from when I first turned 18 and thought it would be cool to have a credit cards, & a cell phone, but not really thinking about how the heck I would be paying it all. I want to fix my credit but I feel so in debt that I don't know where to begin. Please help, I'd greatly appreciate it!
Welcome to the forums!!!
At first you are required to pay all of your outstanding debts. This is because late payments hurt your credit score. If it seems difficult for you to payback all debts in full, then you may try to negotiate with your creditors and set up a payment arrangement with them.
Subject: Credit Repair & Debt
Fri Jan 27, 2012 8:55 pm
A reputable credit repair counselor will advise you of your rights as a consumer, disclose the fees for their services in writing, and outline what will be happening during the time they will be working for you. If they seem to be making outlandish promises that seem too good to be true, don’t hire them and keep looking. A good credit repair counselor can be a great help toward making you more financially solvent and less stressed about 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.