#CreditCardDebt #PersonalFinance #LoanOptions
Hey everyone! π I could really use some advice on my current financial situation. I have about 22k in credit card debt with a super high interest rate, and I’m struggling to make ends meet. Here’s a little breakdown of my monthly expenses and income:
– Monthly income: $3200
– Monthly living expenses: $2800
I’ve been considering a few options to help me get out of this debt hole:
1. Personal loans with lower interest rates (like 6%) from companies like TriPoint lending.
2. Debt relief programs like National Debt Relief.
3. Taking a loan from my pension with higher interest (11% over 5 years).
I’ve also looked into 0% APR balance transfer cards, but my credit score is around 560 and I’m at my credit limit. Any thoughts on what I should do next? Any other suggestions for getting out of this debt?
Personally, I think going for a personal loan with lower interest rates could be a good option. It might help you consolidate your debt and make it more manageable. What do you all think? π€ Let’s share our experiences and tips to help each other out! π
So whatβs all included in βRent bills and groceriesβ
I wouldnβt get another car with another loanβ¦..
I would reduce your living expenses drastically
The absolute first thing you need to do right this second is CLOSE. THE. ACCOUNT. That is non negotiable. Cut the card, close the account, and never open another credit card ever again. You are not a credit card person. Itβs taking advantage of you, not you taking advantage of it.
You do not need to consolidate, those companies are insanely predatory and will take advantage of you. Those who consolidate typically end up in an even worse situation and will rack up the credit cards again.
Cut out everything that isnβt basic essentials. That means $0 in streaming services, $0 fun spending, and a $300-$400 grocery budget.
Any extra money saved will go straight towards rent, utilities, and debt.
You cannot afford a car at this point. If a car is absolutely essential, youβre paying $4,000 in cash for a car that will get you from point A to point B reliably. Do not take out more debt to get a car.
I have a SOFI loan that I consolidated my credit cards onto. Itβs 6 years at 9%, $900 a month. Stopped using the cards and now Iβm on the right path.
Iβd suggest looking into that.
Don’t ever ever touch your pension. This will have massive repercussions on your retirement.
Look into SoFi for a personal loan and pay off the card. But stop using it, cut your spending down or you’ll be back here in a few months.