I need help with my credit dept. I opened a business 1 1/2 years ago with my personal credit cards totaling $39000.00. I have a mortgage and other credit cards relating to my personal life also to the limit. The business is floundering and I cannot make it. No one wants to buy it from me and I cannot keep paying rent on this place and all the other bills that go along with it. What do I do. I cannot afford to pay the cards from the business but with my husbands income we are making it with the house bills. Can I not pay some of the credit cards and hope later they want to settle? Will they want my house (we owe $38000 and worth $140000.) Is there a place (NY) that will help me get them to take lower balances as payoffs. I am not incorporated so is that a problem? Please give me some advice.

Lynn

Can you confirm this? You have $102,000 equity in your home.

If you have $102,000 in equity in your home, then an HELOC may get you the money to pay off the cards at a lower interest rate.

Yes, it shoulds like you either need to borrow money against the home or sell the home and pay the loans off. Since you borrowed the money personally for the business ( did not have a corporation set up and borrow the money under the business)

Agree with everyone else, your best bet would be to get a HELOC and pay off that debt or risk being sued.

However, if you aren't going to be able to go back into the workforce and your husband can't make the payments on the HELOC, then that may not be your best way to go.