need your opinion on this

[qwertykb]

Here is some background information on myself. College graduate, 27 years old, unemployed living with a poor family in the projects. In the past 2 months, I settled 4 credit cards totaling around 15k using borrowed money from my mom. There are 3 remaining cards adding up to 18k, 1 (Capital One) of which offered me a settlement for 85%, they wouldn't go any lower despite me delaying it for another 2 months and threatening them that they won't get a dime if they do not lower the settlement. It's been almost 180 days past due without any payment. They said that my account will be discharged this weekend if I don't take the settlement or pay it in full.

So, I'm asking whether I should let it discharge or pay the settlement amount which is $6,500. The collector told me if it gets discharged, it'll remain on my history for 7 years. What do you think I should do? What's making it really hard for me to decide is that I already settled the other cards, am I throwing more money away? Would my credit be any better if I take the settlement? My friend told me to just let it discharge since my bad credit will be stored for 7 years anyway. I'm practically using all my mom's savings to pay all my debt. Promised to find a job soon to repay her back.

Please offer me some good advice. Thanks in advance. Sorry for my bad grammar.

[lrprn]

Here is some background information on myself. College graduate, 27 years old, unemployed living with a poor family in the projects.

And the reason you don't have a job is.....???

I'm practically using all my mom's savings to pay all my debt. Promised to find a job soon to repay her back.

Same question....and the reason you don't have a job is....???

Given the information you've shared here, it looks like a job and a solid plan to address your debt over time will solve your problems plus save a little cash for your mom too. You are a college graduate. That should be enough to find employment. Is there some life circumstance that you haven't shared with us? It's hard to help if we don't know a little more about your situation.

[qwertykb]

Well, I've been out of school for 3 years and got no relevant experience. Maybe I should just take any job. But then if I don't pay it off now, the interest is going to rack up pretty quickly. She agreed to lend me the money in hopes of me finding a job soon.

[lrprn]

Well, I've been out of school for 3 years and got no relevant experience. Maybe I should just take any job. But then if I don't pay it off now, the interest is going to rack up pretty quickly. She agreed to lend me the money in hopes of me finding a job soon.

What is your degree in? Have you put in an application or interviewed for any jobs the last few months?

My apologies in advance for being blunt, but you aren't in a position to be overly picky here. Getting any regular income coming in is better than having no money coming in. You aren't trying to find a job to retire from 40 years from now. It doesn't even have to be in your field. It's just a place to start.

[CindyLou]

Hi and Welcome! First of all, no matter what I would not take another dime from your mother to pay debt. I would certainly use every avenue available, including Bankrupty to resolve this before using her money. My brother used my parents money for years trying to dig himself out and ended up in bk anyway.

The way you should look at this now it this. Any job is better than no job. Minimum way is better than zero wage. Is the 6500 the only debt you still owe? If so then get your butt out there and get a job and pay that off! Regardless, you will feel so much better about yourself it you are out there working, no matter what you are doing!! As far as the 7 years goes. Even the settlements will be on you credit for 7 years. I would say your main goal right now it to try and get this debt paid without using your mother's money. Nothing is really going to happen if you don't pay it immediately, so I don't see any an emergency to get any more of you mother's money that she doesn't have. If you don't own property then they can't take anything. Get a job and get it paid off asap so the fees don't keep piling up. Good luck and stick around here and hope we can help. Remember. No more of mom's money!!!!!

[qwertykb]

I already paid like 15K to settle my accounts already, I have about 18k remaining in my 3 cards. My mom promised to pay it all off so the interest don't rack up. I just have to get my butt to work. So do you think I should pay the remaining or just ignore the cc companies and hope for a discharge??

I thought about bk before but that will severely hurt my chances of finding a job. That's why I wanna pay it off, wouldn't it look much better than going bk on your credit report? 7 years is a long time.. thanks for all the advice.

[lrprn]

I thought about bk before but that will severely hurt my chances of finding a job. That's why I wanna pay it off, wouldn't it look much better than going bk on your credit report?

When you have the opportunity to pay off your debts in ten years, that's by far the best option over bankruptcy. The key is to not get more debt while you're paying off the old. Learn to live within what you make - whatever that will be. And don't ever depend on your mom again to bail you out of financial trouble.

[qwertykb]

What I meant by paying it off is paying at least something instead of nothing. So you recommend me paying the rest of the balance and closing out the accounts versus letting the cards discharge? That's what I needed to know now. I know I made a huge mistake and others will hopefully learn from it. Thanks for your advice.

[JRScott]

Let me ask a question.

If something happened and your mom lost her job, would she still be able to make it while looking for another job if she paid your debt now.

That's really what you need to look at. If the answer is no, then I would not borrow the remainder from her.

I'm also not sure if you are aware but you will have to pay taxes on the forgiven amounts at the end of the year if the amount forgiven is 600 dollars or more. If you were not aware of that and recently settled the other three cards then expect 1099s from them early next year for your filing.

It is not unusual that people get college degrees and then cannot immediately find something in their field. What you could do perhaps is maybe get a job at a fast food place during the day, and then perhaps a paper delivery route in the morning or evening (or perhaps both). Although it wouldn't be much it'd be a start and you could start perhaps chipping away at the debt you have without tapping your mom's savings.

It is also unusual for the original creditor to budge greatly on settlement. Usually when it goes to the first outside collection agency you can get a better settlement offer. However it will as they told you appear on your credit report for seven years or so.

Good luck

[sickandtired8]

Here is some background information on myself. College graduate, 27 years old, unemployed living with a poor family in the projects. In the past 2 months, I settled 4 credit cards totaling around 15k using borrowed money from my mom. There are 3 remaining cards adding up to 18k, 1 (Capital One) of which offered me a settlement for 85%, they wouldn't go any lower despite me delaying it for another 2 months and threatening them that they won't get a dime if they do not lower the settlement. It's been almost 180 days past due without any payment. They said that my account will be discharged this weekend if I don't take the settlement or pay it in full.

So, I'm asking whether I should let it discharge or pay the settlement amount which is $6,500. The collector told me if it gets discharged, it'll remain on my history for 7 years. What do you think I should do? What's making it really hard for me to decide is that I already settled the other cards, am I throwing more money away? Would my credit be any better if I take the settlement? My friend told me to just let it discharge since my bad credit will be stored for 7 years anyway. I'm practically using all my mom's savings to pay all my debt. Promised to find a job soon to repay her back.

Please offer me some good advice. Thanks in advance. Sorry for my bad grammar.

If you live in the projects, how does your mom have enough money to pay off your debts? Get a job fast and leave your mom's money alone! S&T

[dscurlock]

If you live in the projects, how does your mom have enough money to pay off your debts? Get a job fast and leave your mom's money alone! S&T

he never did mention what his degree was in, I wish i had a degree, I would have been hitting the school employment office
3-6 months before i graduated...

although, people do get degrees and end up doing nothing with their life for whatever reasons, what a waste, if he is not working after 3 years, he never will be, he will always have that excuse, i been out for 3 years...I just cant find work (never once filling out a resume)

[qwertykb]

Well, she does have savings from all the years she is working. The issue here is to pay it off or let it discharge, no one has any good advice besides telling me not to use my mom's money.

Why are you guys worried about my mom's money? She agreed to lend me it already. that's not the reason why I made this thread in the first place.

[Minnymouth]

Best we can offer here is:

GET A JOB!!!!! Quit whining and quit using mom to bail you out!!! Why should she use her hard earned savings to "bale you out"......... These are funds she maY really need in the future to take care of herself.....

Get a job - pay the debts off slowly yourself - or file bankruptcy on them. If you pay them off on settlements (a waste of good money) then you will still have to pay taxes on the writeoff amount at the end of the year.

AND YES, these companies can sue you, garnish any wages you might make in the future, etc......

File bankruptcy, its no worse than the discharges or settlements..... they all stay on your record for 7-10 years.

Evidently your college education didn't teach you that you have to work for a living too...............

You got a college education - THEN USE IT...........

So you have to flip hamburgers till your find your "ideal job" - at least its an income - BETTER THAN NOTHING COMING IN....

Your creating a lot of unnecessary EXTRA PROBLEMS for yourself by not finding a job and by using mom's funds......


Hope your in a financial position in the future to "help mom" when and if that time in her life may come....
Just my opinion........

[qwertykb]

Thought about filing for bankruptcy but it will make it very hard for me to find a job. If settlements/discharges are as bad as bk why do people do them?

[Minnymouth]

People here on the forum are telling you that your are "wasting your mom's money" by doing settlements on these accounts. Let them go delinquent - file bankruptcy on them...... then start fresh....

There's no reason to waste your mothers hard earned funds to clean this up.....

A bankrutpcy is not going to hurt you any more than all the late pays, delinquent payments, penalties, and poor money management already has.

So they sue you - what are the going to get???? You don't own anything do you?? You don't work - so no wage garnishment.....

What was your major in college???? Have you ever held down a job???

If not, IT'S TIME................