I have 2 credit cards, one over drafted checking account with a negative balance and a cell phone plan that i havent paid in almost 3 years... I'm in the military and away from home. I want to fix this mess but I don't know what to do? Help please

Hi, sarajessica11!

Are you making enough that you can pay off these debts? Also, if you are making enough, is there someone you trust who you could authorize to pay the people to whom you owe the money, please?

If you're not making enough, then it would be helpful to know about that.

Thanks!

Definitely not making enough... but yes I would authorize my mother to pay my debts. The thing is I don't have money saved and I live pretty much from paycheck to paychek.

Hi again, sarajessica11!

If you're in the military and currently serving, what are you presently having to spend your money on, please?

Thanks!

My dad passed away last year and my mom doesn't make enough to pay for the house mortgage... so most of my money goes to her and the rest is just essentials

What about debt consolidating agencies? Or there's another financial lending called OMNI where I could try to get a loan (its for military only) and pay off my debts. The only debt I would have would be to omni... the thing is my credit score is probably horrible. I feel like I'm in the hole and I'm never going to get out of this.

Have you spoken with someone about debt consolidation? Consolidating should certainly be a possibility. Even with bad credit, it might be possible to consolidate.

No I haven't yet. I'm trying to figure out what my options are if I have any.

It's definitely admirable that you're helping your mother with the mortgage!

If you just speak with debt consolidation people, it won't obligate you to anything.

Ill try... from what I understand I could take a loan there and use that money to pay my debts. But with my credit I probably won't get approved.

How do you know that you're credit is bad, please?

Help, anybody??

help, anybody???
Check into debt consolidation. Do you know of a good credit counselor? (Does the military offer such things?)

Well I know my credit is bad because I haven't paid those two credit cards in almost 3 years and a while back I tried taking a loan from my bank and it got denied because of my credit score.

I have no idea where to find a credit counselor... I don't want my chain of command to find out about this because I would be in serious trouble. I don't know what to do.

well i know my credit is bad because i havent paid those two credit cards in almost 3 years and a while back i tried taking a loan from my bank and it got denied because of my credit score.

Do you have anything that you could use as collateral for a loan, like an auto, home, jewelry, collection of some kind, etc.

i have no idea where to find a credit counselor... i dont want my chain of command to find out about this because i would be in serious trouble. i dont know what to do.

Why would you be in trouble if the chain of command found out? I'm sure that there are others in the military with debt/credit problems back home.

Do you know the current status of the credit accounts? Like, were the credit card debts sold to collection? Are collectors calling relatives or sending you letters? Have you tried to wheel and deal with the credit companies or collection agencies to come up with an amount to pay to settle the debt? (Sorry to ask these questions, but they are important ones to know about your status.)

Try these:
military debt counseling - Google Search (http://www.google.com/search?q=military+debt+counseling&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-US:official&client=firefox-a)

Also, I'm sure there is some area of the military that will provide services for you. And they would be confidential and not have to go through your chain of command. Talk to your base Chaplin.

Yes the credit cards were sold to collection companies and they call my moms house nonstop... my mom talked to them and they're willing to settle for less than what I actually owe but they want the amounts in full.

If you need a plan, the most serious thing is a over drawn bank account, you need to pay it off first, then set up payment plans with the credit cards. Get on a budget to start paying them off.

Why is the over drawn checking account the most serious??