Dude, fuck this. I am spinning my wheels trying to pay down debt while being charged in the hundreds of dollars (each month) in interest. I’ve been caught (along with many others) in the perfect storm. There’s no new credit available, and all of my credit card limits have been bumped down to just north of my balances.
I have good credit, in the mid-700s, and in the past I’ve simply moved balances to lower rate cards (and, as you can see, that worked out so well for me). Now there’s nothing. Nada. I managed to get ONE new low interest card but my limit was put at just $1500. I’ve been weighing my options, which are rather depressing, because I cannot stand to look at another $100+ finance charge. My options are as follows, in order of priority:
Call The Credit Card Companies And Ask For A Lower Rate
I won’t lie, this scares me a little. I am incredibly passive and I hate negotiating. Also, I feel as though creditors now have the upper hand. I’m never late on payments (except for one time), I always pay over the minimum, if only slightly. So, I can’t use the excuse that I am unable to pay. I can threaten to take my business elsewhere but they must be aware that credit is tight, and if they look at my credit report they will see a number of inquiries as I’ve tried, in desperation, to open a few cards recently. Should I lie and say that I’ve lost my job or was demoted with lower pay? I’m not entirely sure how to approach this and would love some advice.
Try To Get A Personal Loan
If I am unable to negotiate any lower rates from my creditors, this would be my next step. However, I am not confident that this is a possibility, as the loan industry has also been impacted by the credit crisis. I’ve already submitted a loan request to the Lending Club to see if I get a bite.
Seek Help From A Debt Consolidation Organization
I’ve already kick-started this as well. It should be my last option (well, before bankruptcy, which I refuse to consider).
All I know is that I need to do something, and fast, or I will be swallowed by this debt.