My husband and I are in a finiancial bind. We have credit card debt due next month but can't afford it. Help?

My husband and I started a construction business that flourishes in the summer but in the winter not sooo good. We have been married for a year and own our own home. We got credit cards from Menards and Home Depot to remodle the inside. Now the balances are due and we both have no means to pay them. We don't want to pay the interest at all and we can't even get a loan because we're both 21 and have little credit not "bad credit"....yet. What should we do to get back on our feet and learn from this experiance? I have a job but it doesn't help and we live in the small town of Munising, MI..... everybody knows everybody and all jobs are taken. Help.....Please

I'd stay away from credit counseling agency's if possible. If you do have to turn to one, check w/ the better business bereau and your local attorney general's office first. Some of them mess your credit up even worse.
However, I would definately call the c.card company and ask for a deffered payment. You will still have to pay interest later, but they can defer a payment (or two) for you. Or ask if you can make a smaller min. payment. This does not go against your credit.
Next year, when business is good, save some money!! You need to map out the good months and the bad months. Try to have the same amount of bill money every month so you don't find yourself in this situation again.
Also, has he filed for unemployment?? I'm not sure how that works when you're self employed, but he may be able to get some kind of financial help.
Good luck to you!
Happy Holidays!

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Call the companies you owe money to, and explain your situation frankly and honestly. Tell them you want to work out a solution to pay it off when you can, and stress you don't want to default on it. They will almost certainly help work out a way to defer payments for a while (although interest will still accrue), it's in their best interest as well as yours.

If they won't work with you (pretty rare, but it does happen) look in your local phone book for credit counseling agencies, they can often help a lot, and their services don't cost anything.

Good luck.

Credit counseling is a good resource if you need help paying your credit bills, but there are drawbacks.

First, the pros of credit counseling. Credit counselors will call the credit cards you submit to negotiate a lower APR. I have seen people鈥檚 APR rate reduce to 0% during the pay off program. Credit counselors create a plan of paying off the credit cards you submitted. The counselor will work and encourage you to pay as much as you can in order to pay off the debt faster. You will know how long those balances will take to pay off. Finally, credit counselors bundle your payments into one.

The cons are having a credit Nazi monitoring your accounts. Those credit cards you submit for the credit counseling program are closely monitored. You must agree not to use those cards while paying them off. If you charge the smallest thing to those cards, expect a call from the credit counselor. Charging to those cards may drop you from the program, which your reduced rates will return to normal. Some credit counseling programs do not want you to open additional accounts. Credit cards, car loans, student loans, and home loans are all accounts. Opening one could disqualify you for the counseling program.

Here is the best answer: Next time don't be so irresponsible! Why would you rack up all that debt with no means of paying it off? You want to learn from this??? Next time don't spend the money on credit unless you've actually got it in the bank,,, (Sorry if I sound angry. My parents did the same thing when I was young so I hate seeing it happen to other people!)!

Sorry to see so many ******** answers to your legitimate question. Here are some of the options you can take:

1) Call your credit card company and explain the situation. Ask for a reprieve and make a good faith payment with what you can, anything..10, 20 dollars, whatever. Most of them will not close your account (especially Home Depot) since they would make more money with your account being open.

2) Claim bankruptcy. Although it doesn't sound like you are there yet, when you have an overwhelming amount of CC debt, you can still claim bankruptcy. You have to prove to a judge, however, that you will not be able to pay this burden for a while, not just for a season.

3) Don't pay. CC can only report information for 7 years. That means by the time you are both 28-29, you will be able to rebuild your credit. Probably sooner, however, because if you are able to pay 1 or 2 revolving (credit) accounts on time, and you let one account go, it doesn't affect your score as much. Keep in mind, in the meantime, you won't be able to open up new lines of credit.

As far as not wanting to "pay the interest at all"...well, this just amounts to stealing. The terms of the credit card are listed clearly when you open it up, it is your obligation to pay the balance and interest. No one is going to give you an interest free loan..it makes no sense. A loan is a product (money) and the profit made on the loan is the interest. Asking someone to give you an interest-free loan..whether it is a bank, credit card, or individual, is like someone asking your husband to remodel a kitchen for just the cost of the materials.


EDIT: I would be wary of some credit card counseling programs, and do your research well. Many of them are for-profit businesses, which will charge YOU to manage your accounts and negotiate with creditors. Usually, you can do the same thing yourself. Some credit counselors will get a fee back from the original creditor (like a collection agency), but most will charge you. Good luck.

Try the link below. People lending to people.

many people have done this mistake.
They buy on 'Pay Later Deal' then get stuck.
Rule number one. If you really like that deal then make sure that u will able to pay B4 it's due. And always have Backup plan.
What happens is they will charge you interest from day1! they win the game and u loose!
If u have low credit score that doesn't mean u can't get a loan. If you have paid mortgage and other dues on time, then I am sure u will find a bank who can give u a loan. Credit card companies r going extreme for business, I am sure u will able to get another card to get that balance transfer.
I have customer who also in construction business, they did the same mistake in past.
Good luck

In financial service/consulting business for eight years!

You and your husband own your home? Try to refinance. I have a friend in a mortgage processing business and she's see people do it all the time to pay off bills. They wrap the price of your home and credit cards that you want to pay off into one lump sum and that is your new mortgage. Use a mortgage broker, however, and not a bank. Mortgage brokers shop from many different lenders so they can finance those who may not qualify at a bank. Your interest rate may be higher but it is at least tax deductible since it is part of your mortgage. Beware of those that want to charge you high fees for that or ask you to sign a contract up front. Ask beforehand what their fees are because most lenders pay the broker a percentage of what they lend to you. If you don't have a mortgage broker locally, check around because most brokers are licensed throughout the state. You can do most of what you need to do via phone/fax. Shop around and you will get the best deal. It's worth a shot!

Just pay the minimum payment until you are able to pay the entire bill. Interest charges are better than ruining your credit.

First, it's great that you have the mind set of "pay it off" instead of "pay the minimum." I see minimums as an option for when I can't pay the entirety. If possible, pay the minimum plus the interest.

Second, how do you own your home but have no credit? That doesn't make sense.