I am looking for a credit counceler. Does anyone have any suggestions on wheather this is a good idea or not?

also, i was thinking of stopping my 401K payments so I have more money to catch up on bills. Any thoughts on this also. I know its generally not a good Idea but escpecially if they match some. But if you need the money.

Thanks in advance.

Any advice on what to ask or look for in a credit counseler? Or what to look out for?

Also, what effect does this have on a credit score or report?

Thanks,

Anything major that you bought that can be returned? Have you minimized everything you can think of? You should not have any of the following: cable/satellite TV, broadband internet, restaurants/fast food on your menu, cell phone, and you should be turning off lights, etc. Read through the forum on frugal items and how to save. Once you've cut out the luxuries, start economizing. Price comparisons on most everything. Shampoo, laundry detergent, etc. No "treating yourself right now and then" and the like. No shopping. Make a list of what you NEED from the store (as opposed to what you WANT from the store) and stick to the list. Make meals from scratch. Tap water and possibly KoolAid in place of soft drinks. No drive through coffee on the way to work. No vending machines.

No this isn't a punishment. Make it a game. You may be amazed how much you're spending that is simply wasted.

Ask questions. No problem. Don't feel embarrassed. But be prepared to be honest with yourself because this is a great group of people with a lot of good ideas, but if you kid yourself you won't help yourself at all.

BTW, summer is about over so shut off the a/c completely. Use a fan. Since winter is coming get out a blanket and a set of sweats and plan on keeping the thermostat as low as possible.

Limit trips. Combine trips. Eliminate useless trips. Just because something is on sale doesn't mean you need it.

You can check for various assistance programs if you qualify for it. BTW, you should already have cut off all extras on the phone service. Make sure you have nothing more than absolute basic service. All utilities should be minimized (garbage can to the smallest/lowest price). Watch your driving habits to maximize your gas mileage.

You have a major project and it's going to take a while to get out of it. It's also going to require a lifestyle and attitude change. But I'm sure you can do it!

Good luck!

There's a big difference for many of us between "wants" and "needs".

Having no dollars on hand a few days before next payday is a very difficult place in which to be.

Using a credit card gives the appearance of "helping out" ... but that only works in reality if we pay off the balance owing in full every month.

If we've been doing that, and then find ourselves unable to do so, we just put ourselves into a double bind.

Not only have we spent more than we made now, but we'll have to pay that loan off out of future income.

And when we use other folks' money for a while, they want compensation.

So we must pay an extra cost of the interest on the money.

Those 9 short paragraphs from cynic are full of valuable advice.

I agree with every word.

They could provide a lifesaver for you.

It's hugely important to spend less than your income.

If you can not get by, keeping expenses to absolute, bare minimums, as cynic suggests, then you need to find ways to increase income.

Or you'll be forced to live thinner and thinner ... as you've been finding out.

As cynic says ... first, it's important that you be honest with yourself.

Come here with your ideas and thoughts, and you'll find a good deal of empathetic help, as you work toward getting your financial house in order.

Good wishes as you set out on this new adventure.

I hope that you can make it a challenging game, rather than a drudge.

ole joyful

One of the best books on frugal living that I've seen is the series called The Tightwad Gazette and the author's name is Amy but I can't remember how to spell her last name, although as I recall it rhymes with "decision" so it starts of course with "D". There's a series of three books and then there's a fourth one that is a compilation of all three. Many libraries have these and if your local library doesn't have it, see if they can get it through the inter-library loan. Now be warned, there are some rather radical ideas on saving money and even I won't go that far to institute. However it's one of the greatest resources I've found for getting your mind set for frugal living. Through her examples she gets you to think in terms of reduce, reuse, recycle and how can I do it cheaper or how can I make it from something else? It's light reading and very easy to read a little or a lot at a sitting. It's something you can read over and over again and keep refreshing your mind that the goal is worth it.

Also, remember the wealth of free entertainment out there. Take a walk in a park, check your local Parks & Recreation Dept for local activities that are free, etc. Yes, people need entertainment, I'm not suggesting otherwise, but I do maintain that entertainment needn't be expensive.

My best to you on your new adventure! Keep in touch.

I would also say that right now you should not worry about the credit score as much as getting out of debt. Credit scores are for when you need to borrow money and if you are in a bind right now, you need to get out of the bind before borrowing more money. Take heart for you are not alone in your situation. Good luck.

Step 2 is to stop digging - easier said than done at times. There is a lot of good advice in this forum. A reputable credit counseling service may be able to help you with this as well. Put together a plan to bring your expenses in line with your income.

Step 3 is to start climbing out. If at all possible, it is generally better to do this on your own without having a credit counseling service intervene with your creditors. (again, the reputable ones should be able to provide you with counseling alone as a first step - I'm sorry I don't have a specific agency to recommend per your initial request) Having them negotiate with your creditors should be an absolute last resort, but may be something you need to consider if you are in danger of losing your home, etc.

You can do this!

It's been almost two months since you started this thread.

How are things going?

I hope that you've seen some progress and a little light at the end of the tunnel.

It sure helps when we can pass one milestone along the route to financial health.

Congratulate yourself and go for a little treat when you do achieve such a pleasing thing, something that'll please all of the members of the family, for all must pitch in and help liquidate that debt.

But - don't let your guard own.

And don't use those credit cards! Freeze them in a block of ice in the fridge ... that'll take some time to thaw out, should you be tempted.

Only in case of extreme emergency, O.K?

Good wishes for seeing some progress ... and sticking with the plan.

(((((Christians 1 ... and 2, and 3 ... to as many as are involved in the adventure))))).

ole joyful

Something over 4 months down the road of your coping with those oh-so-easily-built debts accumulated on credit cards.

How are things going?

We hope that you've been able to pay down more on those debts than they've been building, that the picture's improving and you've had some victories to celebrate.

Many people here have been through similar difficulties and can offer not only useful advice for specific issues, but encouragement, as well - offering them with gladness.

They know how it feels! Didn't like it when they were in it - and want to see you get out of it as soon as practicable.

Good wishes to you and yours as you deal with the problems that you confront.

ole joyful