"Hardship Program" Contact info for major CCs

[hotdirt]

Anyone tried Chase recently?

 

I have a Chase card, $25,000 balance that I've had for years. Since 2009 I have not been able to pay it down at all, though I've remained current (essentially I pay the minimum each month; interest rate is 29.99)

 

For what it's worth, I earn a lot, but also have a lot of debt. Besides the Chase card I have a card through my CU ($8800 balance), a loan through my CU ($3000) and a loan from my retirement account ($3800) and a Discover card ($5000). My credit is okay, though not stellar of course-- I had two 30 day lates on the CU account in the past year, though everything else is current. The CU account was not renewed when the card expired.

 

Maybe you don' need all that info. In any case, I've been completely willing to close the Chase account if I could actually get an interest rate that will let me pay it off!

[breeze]

See if they'll lower your interest rate, first.

[CJoseph]

so far Barclays have been the only one not offering a change in interest rate; at 24%. Can you give me any details on how you dealt with them?

 

finally came to an agreement with Barclays yesterday (about 29 days late) 5.9 for 12 months

[Globalksp]

The link to the American Express payment plan is outdated and no longer working (for me anyway).

[CoachT]

Called Chase today at 1-877-890-2941. i will spare everyone the drama, but DROWNING in minimum payments from a failed business where we propped ourselves (and my partners) up on revolving debt in my name (bad idea by the way). Was recommended bankruptcy by a bankruptcy lawyer because so much of it was business debt, could probably qualify for CH7. Anyway, sucked it up and called Chase. Two cards - 28,000 on one, 10,000 on the other. Both maxed out. larger one was 5 days past due, the other current. had made minimum payments within 30 days of due date, but typically late over the past 12 months. Chase could not have been nicer, and ultimately gave me 0% for 5 years, accounts closed by consumer. Couple of things to note: First offer on the larger card was 6% and I said that didn't make much of a payment difference so it really didn't help, she immediately dropped to 0%. Took a lot of information about my finances, then approved me. I had to make up the late payment, and then the new payments start the following month (so, you basically are skipping a month if your late one is in the last billing cycle!). Wish I had done this months ago. The more interesting thing was the smaller card was current (although the last payment was late) so I was initially told I did not qualify, but that she would ask for an exception. Put me on hold, then came back and asked for REALLY detailed financial information, saying that they believed I had enough discretionary income to keep the account current without a BLP program. I had to describe in detail utility bills, home owner's dues, etc. My sense is they want to see you able to pay payments but not with a lot of money left over in order to approve you. I finally got approved on that card as well. So, if you are thinking of doing this with Chase, here is a little advice that I took away from today:

1. Call (the dread of calling weighed on me for days).

2. Be nice, humble, respectful. You are begging after all. If you have a problem talking to people in India explaining how you ended up where you are financially, put that aside and be polite.

3. Be prepared with your financial breakdown as follows: mortgage; all secured loans; irs payment plan (if you are so unforuntate as to have one like me); student loans; all revolving credit minimum payments; and all other payments you make monthly (insurance, home owner's dues, etc.), They are very thorough. Shoot for around $1000-1500 left after everything.

4. Be prepared to be on the phone for more than an hour without interruption. Be patient. Don't do this in the kitchen with the kids running around. It takes time and you will be put on hold several times.

5. Be prepared to explain what has changed to cause you financial difficulty. Failed business, difficulty finding new job, less income, and unforseen medical expenses seem to be well-received.

 

Good luck - off to deal with Citi next, so I hope they are as helpful. Today feels like a step in the right direction for a change.

[JoanneM]

I am so confused and need help. This site is great, but very overwhelming. I have been given bad advice from two lawyers already, what do I do?

[CoachT]

Update from my last post, this time dealing with Citi (on my AT&T Universal Card). So, after negotiating 60 mos at 0 percent with Chase, I waited for my Citi card to be past the due date to try to work with them. Due date was on a Sunday, and Saturday morning we get a call from Citi about the card because it was over the limit (from the interest when the statement cut). About 24,000 owed on a 23,800 credit line (read my above post on Chase if you want to hear about our failed small business to understand our debt). Told Citi we were having a hardship and the person on the phone said they couldn't do anything for us. I thanked her and hung up.

 

I Immediately called the Citi hardship department at 866-444-4986. The guy who answered could not have been nicer and more understanding. Much less detail on finances than Chase, but wanted to hear about medical expenses and failed business as well as current income level as compared to prior income level (mine is about 60%). After all of that he said that he could not offer anything at this time because we weren't yet late. He sorta indicated I should try back every couple of weeks until "the system would allow them to offer something". He wished us well and said he would put everything in the permanent notes. Curiously, we did not receive another call about being late or over the limit for the next two weeks.

 

 

I called back two weeks later, and again talked to a very friendly and helpful rep who took a little additional information, asked what I could afford (which I had already calculated a balance divided by 60 months at 0%, so I used that number as a range - $425-450). He then transferred me to another very helpful person who set us up on 55 months at $450 with 0 percent interest. The payments have to auto debit from our checking account and we had to make the first one then. Again, wish I had done this months ago.

[CoachT]

I am so confused and need help. This site is great, but very overwhelming. I have been given bad advice from two lawyers already, what do I do?

 

 

I don't have all the answers by any stretch, but why don't you describe a little of what is going on and I bet people on here will try to help.

[DaddyO]

Coach,

 

thanks for sharing your experience. Did Chase mark your account closed ?

 

Are payments drafted from your checking or do you pay online ?

[CoachT]

Coach,

 

thanks for sharing your experience. Did Chase mark your account closed ?

 

Are payments drafted from your checking or do you pay online ?

 

 

Sorry, been a while since I signed on here. Chase marked my accounts as "closed at the request of the consumer" and I make the payments online every month on the same due date as previously.

[dvd]

I have been hearing that when you complete a harship program alot of creditors positively re-age your accounts. Has anyone heard this before.

[overtun333]

This is a great breakdown of what to expect when calling different banks for assistance. The tip about accounts being marked as 'Closed by Consumer' is especially important for people to know before they dive in. It's a solid alternative to paying monthly fees for services you can handle yourself.