Debt issue-what do you do first and then..
I have read through all the chains and simply could not find a concise answer to my situation. My apologies if this is redundant somewhere.
I have about 80k in unsecured debt, which is a result of losing my job a few months ago AND not spending within my means. I have learned the lesson of a lifetime!
Question: when the lack of funds began, I did contact my creditors and tried to negotiate lower interest rates, payment plans, etc. To my surprise, no one wanted to help me even though I was trying to be proactive. Now 5 months have gone by, the creditors are getting more aggressive, and a few are sending letters documenting they will be writing off the debt; the effort could result in liens and or garnishments. If I cannot pay them right now, what do I do? Do I call each creditor and work something out even though so far they will not do anything unless I pay them something, do I allow it to go to arbitration and ride out the 7 years SOL. I am trying to get back on my feet. If garnishing wages occurs or any other type of lien, I will be in such hardship I would have to file for bankruptcy. This I would like to avoid.
Please help..