Debt vs Love, advise needed.

[5cents]

I'm currently in $60k+ of debt with credit cards & overdraft after since I failed my business in 2008. I have a girfriend suppose to ROM in 2009 but was on hold due to my financial situation.
I am now back to work with a salary that just enough to pay my credit card bills. As for my expenses, my gf is supporting me. I'm so worry about my situation now. The debts seems no end to me as the minimum payment most of the time I just paid for the interest only.
I know, if I keep this situation carry on, one day my beloved girlfriend will leave me.
My friend suggest me to go CCS (Credit Counselor S'pore) to seek for advise. I have registered to attend their public talk and would like to check is there anyone here experienced with CCS?
For the sake of myself and my girlfriend, I really want to find a way out of my financial's mess.
Thanks in advance for any advise.

 

[powder]

i dun think it's debt vs love, it's more of u yourself vs yourself.

the thing u have to question most abt yourself - is your financial patience. Are u able to be patient whilst working out the finances, or at least clear your debt first? this is actually very impt... the biggest problem with pple getting into debts when trying to make money - is impatience. impatience in starting, impatience in wanting to expand the biz, impatience in wanting to make money faster...

it is very different from Hunger and Striving... impatience normally results in shortcuts and quick 'solutions' that dun work.

i think as it is now, CCS isn't gonna help u. the biggest changing agent here is your debt, and yourself. of cos no harm seeing if u can negotiate on the outstanding amount...

money can make, and if u're barely making enough to cover - only u can find ways to increase your income.

 

[wildcarde]

I would suggest that you start with the below.

1. Work out currently what do you have as expenses, then determine which are necessary and which are optional. e.g. Do you have a handphone? Is this necessary? Can you do without it for a period of time or downgrade to a lower plan?

2. Cut loose those expenses that are optional.

3. Seek out payment plans for for credit cards. Some banks offer loans at a lower interest but you would need to setup a monthly payment plan. Check out SingPost or a Credit Co-operative.

4. Save your bonuses and use it to repay your debt.

5. Make lifestyle adjustments, eat at food courts or at home more.

As powder mentioned, the biggest hurdle is that you have to be Patient.

Count your blessings that your GF is still around. If you can pass this hurdle together, she has the makings of a good partner.

 

[miloice]

Fearing over what you cannot control is pointless. What u can control is your finances. So, stop worrying about your gf and focus on how to minimize incurring interests and clear the debt asap.

 

[dodidodi]

My sister once worked in a bank as a "da er long". She not only called debtors to remind them of their late/outstanding payment but offer repayment options. It is possible for the bank to stop the interest but you will need to come up with a reasonable montly repayment plan. Like a fixed monthly repayment. Having said, by doing this, it will affect your credit rating so in the near future applying of loans and credit cards would be more difficult.

ANd yes, u need to be patient. 60+K is quite a sum of money to repay if you don't earn that much.

 

[onegoal]

Credit card companies are all blood suckers.
Go and negotiate with them. Ask for settlement with minimum interest.

Be prepared to pull the plug(declear bankrupt)
They will give in. Don't be scare. All you need is to negotiate in a smart way. 60K is a big sum. but if declear bankrupt bcos of 60k, it's a bit stupid. might as well get more credit, keep it somewhere else. Then u declear bankrupt.

Very honestly, I paid cash for most of my purchase. I only use credit card when i m oversea.

Everyone should practise using more cash that to credit card instead.

 

[miloice]

There are many banks that offers lower interest rates than credit card interests. The idea is to consolidate the debt with one single loan. Its easier to manange and you only need to negotiate your repayments with one single party.

Hunky wrote : "Very honestly, I paid cash for most of my purchase. I only use credit card when i m oversea.
Everyone should practise using more cash that to credit card instead."

Nothing wrong or bad about using credit card. I always use credit cards whenever possible to benefit for the rewards and promotions. Since my credit card payment is via GIRO, I am not charged a single cent of interest.

The thumb of the rule is simply not to spend beyond your budget. Credit card or cash, its just a matter of payment protocol. Hunky's advise is probably useful for those that have the tendency to spend beyond. Hence, the usage of credit cards becomes risky.

 

[enlightenercgk]

5 cents..
i hve been in a similiar plight as you ... during 2009.. but my debts were..prob.. halved as yours
WELLL.. NOW YOU definitely need help !!
negotiate for banks to reduce the interests .. thou it may not work. look out for the banks minimum payment. importantly work out the minimum payments sums for all your c.cards and ensure you can live off the minimum payment .. well as least for the time being.. for if you are not able to feed them off.. within 2mths they will pressed hard on you and subsequently mailed you to discontinued the service or legal actions will be taken.

On your part, i guess in the due course of time, u realised u have minimal cash.. cents dollars etc etc .. tats the time u find that you hav to live off the times of luxurious restaurants and source for cheaper food. thus reducing expenses.
I guess ... be proactive in seeking help... for i feel is a high debts to be in and find other source of low interest repayment scheme. Maintain your work as it is the only income.. source for alterative wkends jobs to give u extra income.. be prepare for it !! As a gf she shld be patient.. and hopefully she is able to overcome this moment of hardship n bail you out to tie you thru !!
Gd luck to u!

 

[jerix]

I had been thru CCS. Their advice is wat most of the above postings had mentinoed. First step is to contact the banks and let them know bout your situation (dont expect them to be kind). They will give you forms and you will have to complete. Most banks will offered u repayment plans with smaller interest over the next 1 to 5 yrs. In short, different banks different policies.

PM me if you need to.

 

[greenman123]

Hi, I'm married with a child. Came across this helpful forum from internet search. I need help desperately. I may become bankrupt because i acted as guarantor for relative. Would like to seek advice of those who have experience or know something about bankruptcy. As my question is rather private, can I PM any of you? Any help will be greatly appreciated.