Credit card debt consolidation
 

Hi guys,

Just checking what other ways to consolidate your CC debts. Snowballing now for my case so thinking of ways to re finance or consolidate. My debts are not enough to qualify for banks debt consolidation plan and and cant seem to borrow any more due to credit limit. Not thinking of borrowing from those licensed money lenders as it will only get worst.

Plan to borrow lump sum to pay off all outstanding credit card bills and 'reset' so i can borrow from bank at a lower interest , personal loan at est. 4%. Can repay over 3 to 5 yrs..

My income ard 90k p.a. CC debts of ard 60k. CC interest of 24% n all the finance charge is really no joke. Need to turn around fast.

Any advice or suggestion will be deeply appreciated.

Thanks in advance ..

Re: Credit card debt consolidation
 

U should check with your friends buying car or home renovation with cash. U can take up the loan installments on their behalf whereas your friend pay in cash to u?

Re: Credit card debt consolidation
 

So far no friends doing both. Most of them don hv so much cash. Is there any p2p lending platform or conpanies that do short term personal loan and no need to have a good credit rating? Cant seem to find one online.

Re: Credit card debt consolidation
 

Contact https://www.ccs.org.sg/. Let them go talk to the banks.

Your debt is big enough to make you a bankrupt if you don't handle it well.

Re: Credit card debt consolidation
 

Hi

I have gone thru the websites n relevant info. However this will be the last last resort. For my case most prob will be under debt management programme. Hope i don have to go there as i believe the bad record will not be good for me.

I still have a healthy income, just that the credit cards bills r getting a bit too much for me.

Still trying to find a way out of this hole.

Re: Credit card debt consolidation
 

if you have outstanding 60k CC bill based on 2% per month interest is already $1,200. Based on your salary $7.5k a month i suggest you just cut to minimal spending but i would assume maybe you own a condo and a car which sets you back $5k ? 2.5k to spend on food etc. You're pretty much screwed the best bet is to go to your parents for a loan.

Re: Credit card debt consolidation
 

Try to see if you can get an advance from your company on your salary. Sign a bond if you need to. This depends on your track record within your organisation.

Family and friends are an option of course. Other options would be selling assets like car etc if you do have one.

Payoff CC debt in full going forward. The interest is akin to loan shark rates and if not careful it would snowball into uncontrollable amounts.

Re: Credit card debt consolidation
 

Yes the interest is gonna kill me. No OS loan for the house i am staying now. Car yes. Nowadays spending is really min. Haha. Just need a short term loan say 2 to 3mth to clear CC debt n get a personal bank loan n spread for 3 to 4 yrs. That shou be more manageable. Learnt my lesson.

Re: Credit card debt consolidation
 

90k income, 60k debt.
Thats not bad already really. Just slowly pay off. U set aside 50% of income towards paying it, should be able to clear it within 2 years.

I got a friend who is the reverse of u.
60k income, 90k CC debt.
Yes got limit cant borrow so much so how he end up debt > annual income?
Accumulated over the years, never pay only pay min amount every mth and kept spending. Snowball till no banks want give him CC or loan him money.
Now he paying 60% of salary every month towards clearing the debt. paid off 20k in 2 years liao. Long way to go but a good start.

U have car? Best thing is to lose the car.
Can always buy another car after u cleared your debts. U know the interest is killing u so best to cut off excessive spending and pay off as much as u can first to cut the interest.
A car is no asset.

Re: Credit card debt consolidation
 

Why not talk to them and voice your concern? See what they say. now is really not the time to think about face or be reluctant to try such avenues. Bad credit record is not a death sentence. Pay off the loan, build up a big balance in your bank account. Whoever check your credit rating... if they see you have healthy reserves, you will be ok

Re: Credit card debt consolidation
 

Actually i have already gone thru the mandatory course on the debt management program. So next step will be to call them up n go drink kopi with them.

I am trying for some other avenues b4 i really to go them .. if really no choice, really not abt face saving or worry abt bad records as i hv other considerations...

All these cc bills.. well... i had 2 good yrs to build it up.. car, marriage, house n renov, all in within 2 yrs. No choice have to suck it up.

Not that i sign card to go shopping or gambling etc.

Re: Credit card debt consolidation
 

TS, aside working to pay off your dbt, you need to increase your income.

what you have is time. to be a PT taxi driver, delivery man or anything. increase your income and at the same time stop you from spending more. if you have no time, you wont get to spend.

Re: Credit card debt consolidation
 

Yes currently doing some other sideline..but the side income fluctuates greatly ... but not driving grab etc.. actually i don hv much free time other than work n family.

Re: Credit card debt consolidation
 

Why not talk to a licenced money lender? They charge 4% interest. Definitely better than CC interest. Perhaps you have some negative preconceived notions abt them. No harm exploring to correct your views, right?

https://comparesing.com/money-lender...YaAs_GEALw_wcB

Re: Credit card debt consolidation
 

I can identify. Years ago, I was in the exact same situation. 60k income. 90k debt. It was the worst period of my life. Every month earn money just to pay all CCs min sum. The debt was used to get married, housing , reno, car etc. Fortunately, I am now past it. Accumulated a large savings. Never borrowed again from any source. Own only 1 CC. Low limit. Paid in full every month. Everything else use cash. No money no buy.

TS, you need to be mentally strong this period. Once you recognise you cannot continue down the same road, you will make the necessary changes / plans. All the best!