I will have around $1600 to pay $1700 worth of bills and live off of. I have a student loan that cannot be differed because you have to make less than $1000 a month to get it differed. I have several credit cards and I a car payment, rent, insurance for car and phone which I signed a contract. I am thinking credit cards but should I call them or what, what am I suppose to do in this situation?
Make a list of every bill you have...I somehow think that maybe one or two luxuries besides the cell phone may not be mentioned in your list of bills. If something does not involve feeding you, sheltering you, or providing essential transportation to work, get rid of it.
Do you have cable? If yes, cancel it.
Do you have internet at home? If yes, cancel it.
Do you have a gym membership? If yes, cancel it.
Do you have netflix/ gamefly? If yes. suspend or cancel it.
Do you smoke? If yes, now's the time to quite! You can't afford it.
End the cell phone contract, the penalty will cost you less in the long run.
Call your credit card companies and negotiate your interest rates...if you explain that you had a dramatic cut in income and can no longer make any payments unless they lower the rate they may drop it for you. Be prepared for them to demand you close the accounts. Sometimes they will drop the interest to 0% if you promise to make small payments every month. (BE AWARE: If you close your accounts it will hurt your credit score!)
Try to find a part time job, even a really crappy one for the time being.
Check Craigslist for gigs that you could do in your spare time.
Check local websites for ride-shares, you can split your transportation cost with someone who may work somewhere near your work, or along your route to work.
Check medical research studies to see if you can be a participant...it can pay quite a bit of money for a short time of volunteering.
I know it's embarassing, and it may not be possible on their end, but talk to your family and see if maybe you can get a loan until you land on your feet.
Lauren F. had a good point about the income based payment method for student loans...I have it set up that way now. I used to have one of the more traditional payment plans, and I was paying $150.00 more a month than I do now...it is much less of a strain. Report Abuse
I don't know if this is a possibility for you, but if you return to school at least part time many student loan programs put a halt to payments...maybe this may be a good time for additional education. If you can't afford to take out more loans for this I get it, but it's an option. Report Abuse
BTW I know for a fact the federal student loans offer them because that's what I have, but I heard some private loans offer similar programs...call and ask. Report Abuse
well that risk you took to use credit cards to buy stuff just cost you.
1)sell the car and buy a used car.
2) find a roomate to help lower rent. or sublease place and move to a cheaper apartment.
3)get a 2nd job to make up short fall
4)sell some items to generate some cash to pay bills
5)cut all non essentiall expenses such as tv, internet, cell phone, eating out, starbucks etc...
deferring credit card payments will not help. it will cost you money in late fees, hurt your credit score and the debt will still be there. This decision is more harmful than helpful.
finding a cheaper car to drive and cheaper apartment are real cost cutting measures that will help.
1. Look into the income-based repayment program for your student loans, which might give you a little breathing room here.
2. Sell the car and by a used junker that will safely get you back and forth, lowering your car expenses and insurance.
3. get rid of the cell phone so you don't have that expense anymore.
4. USe the free time generated by this job cut to find a better job, with higher pay and more hours, or a second job to supplement this income.
5. Stop using the cedit cards so things don't get worse.
You could sell your car and ride a bike to work. Lots of people do. I've been riding a bike to work for yrs. Keeps you healthy too.
Get rid of your car and walk.
sell your car and buy a cheap used one and pay it off in full!