What I suggest is that you call them and right from the first person you speak to tell them that you need to speak to someone that can make decisions on your accounts and implement them. Once you are speaking to someone higher up tell them this: “I am currently considering all of my debt relief options.

I have gotten information on many of them and know what options I have.(implying bankruptcy and debt settlement at fifty cents on the dollar) I thought before I proceed with one of these other settlement/relief options, I would call you first to see what your company might be able to offer me in the way of relief, IF, I were to choose to continue making my payments on this account(s).”

They will want valid and believable reasons as to why you are having money problems such as medical, divorce, job hours cut back, been sick and out of work, things like that. They have it within their capability to drastically reduce the interest rate, remove late payment charges, over the limit charges, and even some finance charges on the remaining balance.

Has anyone dealt with them b4. I have two credit cards with them one is one month behind an the other is 2 months.

They raised my interest to 30 percent an that is what got me. I am just looking for advice on what i should do.

While keeping those credit card accounts active may be good for your score, it could create problems in the future. One time I had applied for a loan for a purchace through a computer store. The loan was denied. Reason? Too much OPEN credit.

I had a few credit cards, all with zero balances. The credit agency thought that I was too great a risk for the new loan with all that open credit being available to me when I wanted to use it.

I canceled all those cards that I had not used in a period of time, and those that I had never used. It did not appear to have an affect on my score, and lowered the amount of available credit that showed on my reports, making my credit appear less of a credit risk. It also took away any temptation to use those cards, helping also to keep my credit in check.

Paying down or paying off credit cards is obviously great; but cancelling them is another matter. When you cancel a credit card, or other account, the “history” becomes closed and is no longer used to calculate your FICO if it was positive; the negative still remains on the credit report however; also; you have then reduced your available credit which means you still have too much “used” credit vs. “unused” credit and this ratio is also an important factor in credit scoring.

I would let them sit providing:

  1. you aren’t paying outrageous fees to have the card open;
  2. if you can hold off from using the cards;

Once you have several accounts paid off; then consider closing the one with the highest annual fees or highest interest rates so it impacts your FICO score the least.

Good afternoon,

I am in need of some counseling and was look for some help,

I was out of work for 14 months and just recently (the past 6 weeks) employed. 12 months ago, I was paying monthly minimums on my “Next” credit card. I received a call from a collection agency demanding the entire balance. I told them that I could not pay the whole balance and they wanted to give me a 40% discount to be paid ASAP. These phone calls kept coming in spite of the fact that the NEXT bank was out of business and I told them that I could not pay.

I live in South Florida and explained that I had damage on my house from the hurricanes and they left me alone.

I received a call from the same collection agency this past week again demanding payment. This call came out of the blue and almost a year to the day of the last one. They called to re-introduce themselves and to say that that they are faxing a letter to me with terms of $1100 a month to be paid until the balance is paid off. They also stated that I am in several banking violations and they can start proceedings against me as soon as Wednesday if I do not comply.

This is a fairly simplistic view of my situation but I sure would appreciate some words of advice.

Thank you,