Hi All,
I am 37 M, living in dallas,TX. I have about 32k in debt with collections. Please let me know the options to get the score back to 700. I am okay to get there in next 3 years.
Please suggest.
Is National debt relief a good option?
How about credit card consolidation?
Need steps to correct my credit – have about 32k in credit card with collections..credit score – 480
byu/isivaram inpersonalfinance
Posted by isivaram
6 Comments
Stop caring about credit score, focus on paying off your debts. Consolidating your credit cards into a loan would be a good idea, but you probably can’t get one.
Once your debts are manageable you can work on min-maxing your credit score. But it’s worthless to do so before that point.
Debt relief is basically a scam.
No one is loaning you money.
Try a nonprofit credit counselor like NFCC.
If you start paying all your bills on time right this second, the credit score will take care of itself.
That won’t fix your situation at all. As others are pointing out you need to unscrew yourself in a hurry
Is the debt still with the credit card companies in their collection department or has it been sold to a collection agency? Either way, pick up the phone and call them. You can do the same thing these credit counseling agencies to. Negotiate a settlement and set up payment terms. The debt will stay on your credit for 7 years in most cases, but your credit score will improve the further you get from it. If you cannot afford this at all, look into bankrupcy. You don’t want to fuck around with CC debt. You will eventually get sued and your wages will be garnished. There is no silver bullet to improving your score. It is a marker of how high a risk you are to a lender. As harsh as it sounds, you deserve the score you have because your are a liability.
Credit score is a symptom of an underlying problem. What led you to incur the debt?
Share budget & income info for more specific advice.
If you can’t share that detail – general advice is: pay your bills on time, get more income and pay your debt down faster, and stop overspending your budget. Your credit score will start to recover if you start these practices.
File for bankruptcy you’re already broke just get it over with the faster the better