Author Topic: Uh OH- Hospital visit and cant pay cards- advice?  (Read 1392 times)

qsnoodle

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Uh OH- Hospital visit and cant pay cards- advice?
« on: October 12, 2017, 01:20:35 PM »
Well, I had a feeling this might be coming.

My husband wanted to go online with his business last year.

I went against my gut and helped him. Long story short - not a good thing. The signs were there. (I've been to therapy- I'm now aware)

Then - he got a bleeding ulcer - in the hospital for a week. And hasn't gotten up 100% from it since.

NOW? I dont think I can make my monthly nut. ITs mostly credit card debt used to get the business going ( advertising etc).
But he didnt and couldnt convert those customers on the calls. The success rate was low after investing in the biz.

Option 1. I can seriously hustle buns right now - find work here and there in the internet community etc and locally maybe - might get by this month- might not - might make 5K this month might not! No idea how people handle this stuff.

Optio 2. Ask the credit card companies for a forbearance program. But I read that you don't want to call them if you haven't defaulted yet. ( raising red flags beforehand.)

Trying to protect my credit. I have at least 2K in minimums I pay (facepalm). I never had cable ( just internet) etc. To live- 5K ( southern cal)

I have paid off debt before. But this time, Its all up to me. Hub is a liability and not an asset.

? Call credit counselors?  If so - who? Im reading about how credit companies will work with you but they say you have to be late first. Well, Im trying to avoid that.

Tips anyone?

Im determined to have a success story one day. And I will.

smallstache

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #1 on: October 12, 2017, 01:28:54 PM »
I don't think there is enough information here to understand the situation.  Is this a failed business or are there medical bills?  If so, those are the top two causes of bankruptcy.  That might be an option.

plog

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #2 on: October 12, 2017, 01:30:05 PM »
You can't have your cake and eat it too.  Choose one:

1.  Retain good credit and pay them what they want this month.

2.  Take credit hit and pay what you can.

That's it.  The credit card companies are in it to maximize profits.  Right now you have shown you are at maximum profit--you pay them every month without worry.  You have to make them realize that you are in a predicament--paying them consistently isn't going to help them come to that realization--you must prove it to them by not paying them.  Only then will they be open to working with you. 

Lastly, enrolling in credit counselling services hurt your credit as well.  Often they are noted as deliquent/not full payments on your report.   

qsnoodle

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #3 on: October 12, 2017, 03:28:00 PM »
 Thank you. Good insights!

PS
Its consumer credit cards used for business software and advertising.

Seeking as may answers as possible to reduce all the phone calls I need to make.

bestname

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #4 on: October 12, 2017, 03:44:36 PM »
If there are medical bills be sure to negotiate those - hospitals will often write off huge percentages of their bills. Although they may want to see that you aren't able to pay them.

dycker1978

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #5 on: October 12, 2017, 03:51:41 PM »
I am confused.  If a week or two of your hubby not being able to do what he needs to during illness, I think that you need to may revaluate.  I would be worried living that close to the edge.  Can he teach you to do the online stuff?  The point of online business is typically is to reduce the amount of hands on needed to make the same profit.  Is it not working?

slappy

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #6 on: October 12, 2017, 06:07:08 PM »
I think we need more info. But if you can work extra and pick up side gigs to cover it, I would go that route first.

JLee

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #7 on: October 12, 2017, 06:12:36 PM »
https://creditcards.chase.com/credit-cards/chase-slate  <- Chase Slate has 0% on balance transfers for 15 months.  If you're going to end up unable to pay stuff, you may as well take advantage of your (presumably decent) current credit to transfer as much as you can to 0% and keep the financial bleeding to a minimum.

Inaya

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #8 on: October 12, 2017, 07:05:24 PM »
You might be able to call your cards and negotiate some sort of hardship program.
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secondcor521

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #9 on: October 12, 2017, 07:16:46 PM »
A couple of things:

1.  Make sure your husband understands in no uncertain terms that you two will NEVER AGAIN start a business with credit cards.  It's probably one of the riskiest financial things a regular person can do to get into trouble.

2.  If you haven't paid the hospital bills, they will very likely put you on a payment plan.  As long as you pay the monthly agreed upon amount, they won't report you as late or overdue.  Offer to pay $10 on each bill each month now.  Go clean up the credit cards, then once those are gone you can pay more to the hospital bills to finish them off.

3.  As for the zero percent offers, depending on how much you owe they may not be of much help.  First, there is usually a balance transfer fee of 2-3%.  Second, they'll expect you to pay it off in X months, and if you don't the balance then accrues interest at a very high rate.  If you are disciplined and have things under control, yes, it can save you a decent amount of interest - however, you currently do not sound disciplined and under control.

4.  Sell stuff.  Give plasma.  Deliver pizzas.  Have a yard sale.  Cut all expenses to the bone, then cut again.  You should be paying for food, water/sewer/trash, electricity, heat, and mortgage/rent first.  If you can cover those things, you can work through the rest and it'll be OK eventually.

If you truly are stuck, it is better to call your debtors and let them know.  They may be able to work with you in some fashion, although anything they offer may adversely affect your credit.

Good luck.
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MaaS

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #10 on: October 12, 2017, 08:06:29 PM »
Can you find an offer for 0% card? you could transfer it to that, and then pay it back slowly.

Unfortunately, with the information available, this might be your best bet.

JLee

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #11 on: October 12, 2017, 08:09:31 PM »
A couple of things:

1.  Make sure your husband understands in no uncertain terms that you two will NEVER AGAIN start a business with credit cards.  It's probably one of the riskiest financial things a regular person can do to get into trouble.

2.  If you haven't paid the hospital bills, they will very likely put you on a payment plan.  As long as you pay the monthly agreed upon amount, they won't report you as late or overdue.  Offer to pay $10 on each bill each month now.  Go clean up the credit cards, then once those are gone you can pay more to the hospital bills to finish them off.

3.  As for the zero percent offers, depending on how much you owe they may not be of much help.  First, there is usually a balance transfer fee of 2-3%.  Second, they'll expect you to pay it off in X months, and if you don't the balance then accrues interest at a very high rate.  If you are disciplined and have things under control, yes, it can save you a decent amount of interest - however, you currently do not sound disciplined and under control.

4.  Sell stuff.  Give plasma.  Deliver pizzas.  Have a yard sale.  Cut all expenses to the bone, then cut again.  You should be paying for food, water/sewer/trash, electricity, heat, and mortgage/rent first.  If you can cover those things, you can work through the rest and it'll be OK eventually.

If you truly are stuck, it is better to call your debtors and let them know.  They may be able to work with you in some fashion, although anything they offer may adversely affect your credit.

Good luck.

From the link I posted:
Quote
Pay no balance transfer fee when you transfer a balance during the first 60 days your account is open.

0% Intro APR for the first 15 billing cycles that your Account is open.
After that, 15.99% to 24.74%, based on your creditworthiness. These APRs will vary with the market based on the Prime Rate.

lbmustache

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #12 on: October 12, 2017, 08:39:42 PM »
Can you find an offer for 0% card? you could transfer it to that, and then pay it back slowly.

Can you find an offer for 0% card? you could transfer it to that, and then pay it back slowly.

This might work if OP can get approved for a decent amount. "$2k in minimums" sounds like quite the balance :O

Decent credit score OP? Maybe debt consolidation if you can get an APR lower than the credit cards? https://www.nerdwallet.com/personal-loans

ohsnap

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #13 on: October 13, 2017, 12:12:05 PM »
...

This might work if OP can get approved for a decent amount. "$2k in minimums" sounds like quite the balance :O

Decent credit score OP? Maybe debt consolidation if you can get an APR lower than the credit cards? https://www.nerdwallet.com/personal-loans

I think it means a balance of over $100,000...possibly $200,000.  Wow, that's a lot of advertising.

I wouldn't worry about "protecting" your credit at this point.  If it were me, I'd stop paying for a while and save up cash to negotiate.  For example, if you have 10 credit cards with $10k balance on each, stop paying a couple of them* and save up some cash.  Once you have $6k or so, and they've been hounding you, ask them to settle for $6k.  If credit card A won't do it, offer the cash to credit card B.  Then stop paying credit card C, repeat, repeat, until they are all paid.  It will cost you some money (you'll be paying a good chunk of what you owe - the hit they'll be taking is the crazy interest they've been charging you) and it will cost your credit score. But it won't be as bad as bankruptcy.

*I think you don't want to stop paying them all at once because if you get too behind on all of them, some of them might start suing you.

Lyngi

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #14 on: October 13, 2017, 10:14:35 PM »
You can't run from credit card debt.  Ask me how I know....  My DH bought tires for a truck he used for business on a store card.  In hindsight, really stupid to use a truck for the business and buy really expensive truck tires, lots of low MPG miles.  Later on he was able to use a passenger car for the business just fine.  Well, he defaulted on the card.  It's been about 10 years now.  He just started working a W-2 job because he can't do the physical work needed for the old business.  Found out that the card company is going to garnish his wages until the card is paid off.  I separated my finances from his a long time ago.  We knew there was a lien placed, but I couldn't ever get a copy of the subpoena they "served."  Bankruptcy was not an option, as the amount owed wasn't catastrophic. 

electriceagle

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #15 on: October 16, 2017, 01:10:38 AM »
To the original poster: try creditboards. They are more oriented towards someone in your situation.

Acastus

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Re: Uh OH- Hospital visit and cant pay cards- advice?
« Reply #16 on: October 16, 2017, 10:06:44 AM »
Medical companies, hospitals especially, are the easiest to negotiate with to establish a payment plan, in my experience. As long as these debts have not been converted to credit cards, you can buy yourself some time with low, low payments. Some will not even charge interest.