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May 01, 2007 17:46

If I have bad credit, what are my options for taking out a loan to pay off debts? Idealistically, I'm going for $7000.

Thanks in advance.

credit report, loans, debt

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swingangel May 1 2007, 21:57:02 UTC
not so good, and if you can it will be at a very bad interest rate. Debt consolidationloans are not freely given by banks because they are taking on debt from other institutions and if you are already struggling they don't want to struggle with you, so to speak.

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misterdoodyhead May 1 2007, 22:09:07 UTC
I can tolerate a bad interest rate - I'll take that over being homeless.

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swingangel May 1 2007, 22:20:00 UTC
Well, it's worth a shot. I'm a loan officer, so when you say bad credit obviously I assume the worst. I'd start with places like Household and American General, although really, depending on your situation, CCCS might be better for you.

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_perfectionist_ May 1 2007, 22:53:25 UTC
does CCCS have credit requirements that you have to meet in order for them to work with you? 'cause I am fixing years of terrible awful financial mistakes on my part and my credit is in the absolute toilet, and CCCS was sort of were I hoped to head. ugh mannnn.

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swingangel May 1 2007, 23:16:42 UTC
Nope - they have no credit requirements that I know of, only that you turn over your accounts and go cold turkey from what I understand.

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_perfectionist_ May 2 2007, 00:14:59 UTC
oh god GLADLY will I do that! I have already gone cold turkey and am working hard now to pay off the ones I am able to...my prob is that I have a few accounts that went into collections a year ago when I was going through this whole crappy thing that I won't get into, but they'll help me with those right? I scoured their website but I couldn't really tell...
also thanks for the info!

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swingangel May 2 2007, 00:20:28 UTC
Well, i'm actually speaking from a former collections agents side - i've never dealt with them personally but i've talked to lots who have and have done the creditor side of it. So, I THINK they will help you with collections as well. If nothing else, they can give you some advice on how to handle it if they cant' add it into the debt structure for you. Only go with CCCS though, the rest of them are hit and miss and there are a lot of shady ones.

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ex_nopants511 May 2 2007, 03:00:28 UTC
Money Management International (which runs cccs) also has an online option - you don't even have to talk to a person, you can do it all over live chat. I liked that option because I'm sort of embarrassed by my situation.

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_perfectionist_ May 2 2007, 03:14:15 UTC
man so am I and it bums me out a lot because I know credit card companies are ruthless and shitty but still, it's embarrassing to me.

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ex_nopants511 May 2 2007, 03:16:52 UTC
Oh, I totally understand. Calling them up and explaining why I haven't paid them for two months is the freaking worst! Sometimes I get someone really nice and understanding, but more often than not I don't. The absolute WORST was when one of my creditors started calling my parents. I could have died.

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_perfectionist_ May 2 2007, 03:53:11 UTC
!!! they called yr parents? oh my god that's terrible!
I'm basically estranged from my family, but my boyfriend doesn't know how bad things have gotten for me financially and I feel really really guilty for not telling him but I just CAN'T. He's a freaking finance major! He'll think I'm an idiot.

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belladonna May 4 2007, 01:59:32 UTC
I was the same way with my fiance. Then I was unexpectedly hospitalized and he and my mother found out about everything when creditors started calling my cell phone and then they found the bills I had sort of hidden. He almost called off the wedding.

We're fine now, but it would have been SO much better if I had told him.

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_perfectionist_ May 4 2007, 04:11:53 UTC
oh man I am so sorry to hear that! I know I should clue him in but...I mean he knows I have been really financially irresponsible and that my credit SUCKS, he just doesn't know how bad it is. I am just so afraid he'll think I'm really horribly lame and I keep hoping I can fix everything on my own before anyone has to know.

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sunfell May 2 2007, 12:57:57 UTC
CCCS will help you with collections. The calls stopped almost immediately after I got on with them. And it was really encouraging to see how quickly the balance went down, and how much money I had after they'd helped me prepare and execute a budget.

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_perfectionist_ May 2 2007, 15:00:34 UTC
I'm seriously teary-eyed with relief/gratitude, thank you guys so much.

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jenett May 2 2007, 00:23:23 UTC
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