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Innocent_Kiss

3 CCs Gone to Dirt, In Over My Head, Need Advice

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Long story short, lost my job about a year ago and had a part time sole proprietor business. After job loss I had to rely solely on inconsistent PT business income (while navigating health issues.)

 

It's been tough as nails to establish a full time income since and as a result I've been unable to keep 3 of my credit cards afloat. Total credit card debt about 32K, nearly the same as my annual income of 35K last year. 32K is a lot in CC debt I know. I had to cover medical expenses and cost of living when my income was down to nothing.

 

This is the problem, even if I make payment arrangements, my sporadic income makes it difficult to cover my basic living expenses let alone making payments in a timely manner for credit card debt. I'm working on establishing additional streams of income and increasing income in general.

 

I'm considering a chapter 7, but I'm not sure if it's my best move, especially because I'm not a property owner yet and would look to purchase when I get back on my feet.

 

My current reports have a collection from an emergency room visit during my health crisis along with a host of lates on 5 of my credit cards. I'm opening a credit builder CD loan account with Self Lender this week to add a positive tradeline to my reports.

 

 

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Nothing matters until you get stable income. Whatever you do including BK will just be undone shortly thereafter. If you can't generate enough income in your business you need to go get a job or start driving Uber or something. If you still can't come up with enough income, you need to cut your expenses. Life is not sustainable without enough cash flow.

 

Don't waste your time and money on a credit builder CD loan, especially not at this point. Your credit in general is the lowest priority.

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Long story short, lost my job about a year ago and had a part time sole proprietor business. After job loss I had to rely solely on inconsistent PT business income (while navigating health issues.)

 

It's been tough as nails to establish a full time income since and as a result I've been unable to keep 3 of my credit cards afloat. Total credit card debt about 32K, nearly the same as my annual income of 35K last year. 32K is a lot in CC debt I know. I had to cover medical expenses and cost of living when my income was down to nothing.

 

This is the problem, even if I make payment arrangements, my sporadic income makes it difficult to cover my basic living expenses let alone making payments in a timely manner for credit card debt. I'm working on establishing additional streams of income and increasing income in general.

 

I'm considering a chapter 7, but I'm not sure if it's my best move, especially because I'm not a property owner yet and would look to purchase when I get back on my feet.

 

My current reports have a collection from an emergency room visit during my health crisis along with a host of lates on 5 of my credit cards. I'm opening a credit builder CD loan account with Self Lender this week to add a positive tradeline to my reports.

 

I'm not sure I see the value in a credit builder loan at this stage. Even if you can add a positive tradeline, nobody will even touch you with the poopy end of a stick until you get your other five hemorrhaging tradelines under control. But to do that you need to stabilize the income issue.

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