I have come under financial hardship with loss of accounts in my cleaning business and my wife becoming unemployed. Thus we have contacted our credit card accounts by mail and explained our situation and stated we need a reduction in our balance/and or extreme reduction in interest rate or we will never be able to pay off and will have to declare bankruptcy.
So far, 2 have contacted us back stating they cannot help and we should go to a debt consolidation company. I have read we can negotiate on our own, so do we really have to go to a debt company? What else can I do in this situation? I don't want to declare bankruptcy but it's almost as though the credit card companies are forcing me to by not negotiating. It seems as though they would want to collect some money from me rather than get nothing after bankrupcy!
Any help at all I will REALLY APPRECIATE it! I really don't know where to go from here. Thank you so much!
If you try to do it yourself, not knowing the ropes, it is not likely that you will get very far. I have also heard from many peopel AFTER trying to work with a debt consolidation company, who have told me they wished they consulted an attorney much sooner, as all they did was to waste their time and money.
The National Association of Consumer Advocates (NACA) is a non-profit consumer advocacy organization. NACA maintains a web site at www.naca.net where it lists geographically consumer law attorneys all over the US. If you don't already have an attorney, please look there for someone in your area who specializes in debt collection defense to review the details with you and advise you.