CC Debt Consolidation

amother

OP ↓

Sun, Nov 17 2024, 11:14 pm

Although DH and I both work full time, we are generally living month to month. We also are 30 k in Debt from a big expense (sort of unavoidable) that came up. It's all on different credit cards....

Questions: did anyone consolidate debt? Is it worth what it does to your credit score? Which company did you use? Is there a frum organisation that my husband and I can sit down with a financial consultant? To get advice on what to do...

If anyone has any answers I'd be so grateful!

amother

Oleander ↓

Mon, Nov 18 2024, 12:10 am

Have you explored other options first?

The first option would be to open zero interest cards and transfer your existing debt there. Preferably under business cards, because then the balance won’t affect your credit score at all. You don’t actually need a business to open a business card, you can use your SSN as sole prop

If your scores are in the toilet that you aren’t eligible for any cards, then try calling the cc company to get on a financial relief program that allows for lower interest rates and no fees, and usually does not effect your credit score much as long as you make payments

amother

Amethyst

Mon, Nov 18 2024, 10:29 am

amother Oleander wrote:

What’s the process of opening a card as me being the sole proprietor? Do I have to file something in terms of opening a business or do I just apply for a business card… have major debt too…and have been thinking of this but didn’t know how. thanks

amother

↑ OP ↓

Mon, Nov 18 2024, 8:31 pm

amother Oleander wrote:

Thanks so much for taking the time to answer! I think I'm going to try to go the zero interest credit card route and attempt to slowly save up. If so much of my paycheck didn't go to taxes it would be easier Crying

amother

↑ OP

Mon, Nov 18 2024, 8:32 pm

amother Amethyst wrote:

It's super easy to open an LLC ask your accountant how to file. Took me an half hour.

amother

Gold ↓

Mon, Nov 18 2024, 8:36 pm

amother OP wrote:

It's super easy to open an LLC ask your accountant how to file. Took me an half hour.

Filing an LLC isn’t necessary, you can operate a sole proprietorship and open business cards in your name without forming a business entity.

amother

↑ Oleander

Mon, Nov 18 2024, 8:37 pm

amother OP wrote:

It's super easy to open an LLC ask your accountant how to file. Took me an half hour.

You don’t need an LLC, you can literally fill out the credit card app with your name and SSN as a sole prop- you can have DBA/“doing business as” your own name as well. It’s the same as getting any other credit card except the balances don’t show up on personal credit so it doesn’t make your score go down from having high balances

Look for a business card with zero interest APR that applies to balance transfers

amother

Currant

Mon, Nov 18 2024, 8:40 pm

If you are open to paying for it, there are companies that provide the service of opening 0% APR cards and are usually more successful in getting approvals than when you apply yourself.
I have used Approvals in the past, 845-825-6699. He charged me 6% of whatever amount of credit he got me.

amother

↑ Gold

Mon, Nov 18 2024, 11:16 pm

amother Currant wrote:

6% is a lot, especially when you consider that cards have 3-5% balance transfer fees on top of that. I wouldn’t recommend this option unless you have reason to believe you won’t be approved for a card without help.