I am have 2 credit cards beside outstanding of 50000/- please suggest me to overcome from this debt.?
I am having 2 credit cards SBI & City Bank next to outstanding of 30000/- & 20000/-. Every month I m paying heavy minimum amount from closing one year. Now i want to settle the outstanding. I can arrange only 30000/-. What to do to get hold of discount? Is it possible to settle the above outstanding with the brass i can arrange. What action can the credit card company may pinch if I refuse to reward the whole amount? I m facing financial fragility. Please guide me how to overcome from this problem.Answers: SBI and City Bank? Are you in India?
I am not sure give or take a few Indian law, but this is what I do if I am surrounded by USA.
I have to rate 50,000 to credit card company. If I call them for discount they will never administer it to me if the account is current. That resources if I am paying my monthly minimums then they will not discount the amount.
I will stop making payments. This will hurt my credit history for in a minute. but I will do it.
Credit card company will start calling me.
I will not neglect the call. I will start my offer at 25%.
That channel I will offer 12500 for 50000.
I will not increase my tender for many days, afterwards if 25% fails I will increase to 30%, after 35%.
Based on other people's experience they credit card companies accept anywhere from 25% to 40%.
Never jump above 40%.
The worst case senario is to payment 40% which is 20000 for 50000 balanace.
This can go upto 6 months.
You said you own 30000.
You still left near 10000.
Use this 10000 to repair your credit plus you have to reimburse taxes on the difference (50000 - 20000) 30000 amount.
If you don't pay the credit card companies can phone call you every day, sometimes various times in a daytime, get judgement against you within the court, garnish your wages or guard account against the judgement, verbs your credit history.
Try not to get judgement from credit card companies.
Credit Card debt is unsecured debt. If you don't salary, there's nothing they can do except hound you year & night for the money. They can't accessories wages, or put a lien on your house, or reposses your car, etc...
With that said, you should cause every effort to settle your debt. Call respectively credit card company and renegotiate the interest rate. It's in their best interest to lower your interest rates as opposing you defaulting on the entire amount you owe them. However, you have to be 90 days surrounded by arrears before they will negotiate beside you.
In the meantime, close both accounts so you aren't tempted to use the cards.
If you want to settle next to them for a reduced amount paid surrounded by full, they will usually go as low as 40 cents on the dollar. So your $5,000 debt should be settled for around $2,000. But be aware that this write past its sell-by date will result in a 1099 that you must aver as income on next years rates return.
Don't hesitate, a short time ago go and gather round the top banking citizens of those banks to which you hold the cards. Talk to them heart to heart, they can guide you better than others and can arrange a plan to finish the money accepting your concerns.
Try this first. If they are adamant afterwards see a good legal representative and file a suit to go and get a stay to stop their harrasement in salvage first and later to establish that they enjoy taken more of interest than the amount they loaned to get the court crumb the payment, to squirrel away you!
I have hear some valuable inputs from this have a chat show host - Dave Ramsey, for financial security and debt moderation. Try visiting the following websites and may be you will find an appropriate answer or a solution:
http://nashville.about.com/cs/famousresi...
http://www.debtadvicetrust.org/debt/debt...
An guide on credit card in reality covers all the aspects of a credit card. Besides advise on how to get a suitable credit card traffic, these advisers tender suggestions for making a credit card a financial instrument in your hand. They show you way to use a credit card for abiding money with set off transfer. Credit card counsellor will tell that you can clear the best use of credit card in doing home augmentation works. And if you have glorious rate credit card debts, these advisers can breed you aware of the advantages of opening a bright credit card in clearing debts.
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You enjoy placed yourself in a tight corner by incurring debts.
It will not be straightforward to avoid the payments nor the agencies will allow you to go scot free.
Stop adjectives purchases on your 2 existing cards. Settle SBI a/c with the Rs.30,000/- you enjoy arranged. Hope it is not another form of borrowing or incurring debt. While disclosing your difficulties with SBI try to prevail upon SBI to compromise on the present outstanidngs by some wavier of Interest, etc.
On successful completion of SBI business than concentrate on Citibank. Try and sell stale your existing assets and raise dosh from your own resources and than adopt the same system as suggested for SBI.
Act quick - to avoid interest burden. Or some friendly Loan free of interest can also work.
How did you come to incurr the expenses and how have you spent them to incurr the debt is a thought you hold to evalute on your own and do not repeat such mistakes in adjectives.
Be wise after the event.
I don't know more or less your financial background
If you can wage 3000/-rs monthly then ask them to product it EMI.
If you can pay surrounded by three months, then ask afterwards balance verbs settle one with another.
Does using a financial debt help service effect your credit report in a negative way?
Answers: Those debt financial places really dont 'help' you.
And to other creditors its frowned upon because they will look at you as if you are not responsible to manage your own account
You'll do better off sitting down with all your bills and tackle them head on. Call the creditors and see if they are willing to work out a settlement or whatever you can do
Start by paying your smallest bills first then work your way up to the larger bills
Someone else suggested you read Dave Ramsey book? Well let me tell you about Mr. Ramsey book..it's one of the BEST and USEFUL books you'll ever buy
yes, you will be treated as if you filed a chapt 13 bankruptcy... as far as your credit report goes.
most of them do little to help you or pay your debt off. you can learn to do it yourself.
http://www.daveramsey.com
get his book "the total money makeover"... tells you what to do.
Which banks offer secured credit cards? I cant find the links to any!my comp crashed and im looking for them?
Answers: Here's links to them all
Ideally, credit card processing method ensures fast business transaction and security for the buyers and sellers. For credit card processing, a fee is charged by credit card provider. The service provider acts as an intermediary in credit card transaction processing. It validates credit card numbers and expiration dates and obtains authorization from the credit card issuers. At the end of the payment transaction, confirmation numbers is sent to the taxpayers.
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