| In over my head, what is my best option? |
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jconnon
New Poster
Cash: $ 0.45
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Joined: 12 Sep 2008
Location: MA
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| In over my head, what is my best option? |
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I hope this is the right spot for this question.
I am not sure how much info is needed to provide me with some advise but let me know and I will fill in the blanks.
I have a lot of debt and no saving's, my wife and I are 45 with children. The most basic problem is that for many years we spend more than we make. We have also had quite a few setbacks that have never allowed us to keep our head above water financially. The spending more than I make is something I can fix but the debt is out of control, it leaves almost nothing to get by on.
Would I be better off refinancing so I have some breathing room or just keep trying to grind it out one bad debt at a time? I really don't want to refinance because I just feel I am just pushing the problem for an even more extended period of time and it in the will cost me more. That being said I am not sure how much longer I can juggle the debt before I go under.
Any advise is appreciated.
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Fri Sep 12, 2008 2:41 pm |
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jconnon
New Poster
Cash: $ 0.45
Posts: 2
Joined: 12 Sep 2008
Location: MA
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| Credit card debt |
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Well fortunately as much as I have to much debt I do not have anything in arrears. In fact I never pay anything late, I don't think i would have trouble refinancing but I still would rather not go that route unless I have to. So I guess that leaves what do I attack first. I have 5 credit cards that total around 40,000. All of them are around 3.99% for the life of debt.
I have a equity line which is what is the most painful, with a variable rate.
It is 5.75% now but it was as high as 9%, it is 45,000. Most of what is paid on it is interest. And lastly is the mortgage which is $190,000 at 5.85% fixed.
So what is the best spot to tackle. The other area's that takes the rest of the paycheck are the usual things. Gas , groceries, insurance etc. But groceries is a big expense, almost $900 last month (I have a family of 7). I do not have a lot of ways to cut down on spending but I will. Sorry I know my writing skills are horrible.
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Sat Sep 13, 2008 2:30 am |
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