If I ran up 20K+ debt on several credit cards and can't pay them ?
445929
Did the Earth just shake?  Something awful happened, cause we finally got a wise answer from icsowesmemoney!\n\nFact.  You owe $20,000.  \nFact.  You make $800/month\nFact.  If you were somehow able to find $200 in that tight budget, and factoring in interest payments, it's going to take over 10 years to pay this debt!\n\nThe other responders completely ignore your comments on the difficulty in finding a better paying job.  Some day, they will lose their jobs or get laid off, and will discover this fact for themselves.\n\nYou are a prime candidate for filing chapter 7.  You will not meet the "means test" because you don't make enough money to be forced into a Chapter 13 "wage earners" plan.  With no home or car, you have nothing.  \n\nCheck with the local bankruptcy attorneys, and you may even find a program for low income people and get a very low legal cost.\n\nGood luck.  You are in very good company.  Many thousands of other people filed for bankruptcy last year for this very reason.
736317
You got a consolidated loan setup to lower interest on multiple loans you had trouble paying. That's your fault. Keep on the plan you have now or declare bankruptcy.
556179
Well consider this when you settle an account it is shown as a "settlement" on your credit.  So this will affect your score.  Certainly better than a default, but not as good as "paid in full".\n\nI would call the companies and negotiate.  Come in low... let them come in with a higher $ amount.... then agree to their $ amount under the condition that it is reported as paid in full vs. settlement to your creditors.\n\nGET IT IN WRITING!!!! \n\nThen pay it.\n\nWe did this with one card, paid a settlement and then they still tried to collect the balance!  It was a HUGE mess to show that we did our part.\n\nSo make sure you get it in writing and make sure you pay it ASAP!  The faster you can pay it the better.
1038911
After you paid off your debt, your credit score will eventually raise through time.  \nAlthough getting other credit cards and paying them off is a "trick" but your credit report will show that you have too many credit cards.  It is a trend that credit agencies see.  That's an old trick and the agencies will look for that.\nJust stick with paying off current debt.  That's your best move.  And resist getting more loans and credit.\nI once had bad credit.  One that I couldn't get any credit cards.  Nothing.  \nOnce I got married, I got rid of all my credit cards and paid off all outstanding debt.  We started new and kept up payments of home, car, etc. \nMy credit score eventually raised and now I'm an "average" rate.  I didn't do anything but continue a well-managed financial responsibility.  I raised from "risk" to "average" in 3 years.
837183
I need more information.  Arbitration in regards to what?  Credit card debt?
540223
Any money that is left over after paying all of your debts will be refunded to you.  Now also, if you owe money for like "Child Support", they can't hold your refund for any interest that is owed after the principal amount has been paid.  \nGood luck.
592577
Nope credit score, amount of debt, and amount of possible debt (possible debt is if you have a lot of credit card accounts open even though you have no balance the fact you can get a balance hurts your ability to obtain further credit) are all taken into account.
544689
It is not the amount you have open as much of how long your active accounts have been open. The longer it has been reporting to the credit companies the better. Also the amount of available credit compared to the amount owed has a drastic affect. It is much better to have 3 accounts with 25% of the line used than one at 50% or above.
163927
If you use your credit cards after bankruptcy, be prepared to pay everything you charge on them.  \n\nYou should cut up your credit cards.  That's what got you into bankruptcy in the first place.
353378
Don't do it if you can avoid it in any way. Your credit will be shot for a very long time. (not to mention it isn't a very upstanding way to settle your debts)
37131
i would be careful.  they are trying to "reage" the old debt.  See on old debt time runs out that they can contact you, and also put it on your credit score, so they are trying to keep coming after you.\n\nIf it is your debt think about paying it off, if for some reason it is debt that is not yours, throw the paper away and do not do it.\n\nhttp://moremerchant.com probably has info on it.
332888
There are hundreds but they all charge outrageous interest rates and up front fees which just perpetuate the debt cycle.\n\nBetter to go and look up a debt councilor - usually a free service in your local area.
454969
kharma217's answer is excellent.  Let me expand on it a little.\n\nLets say you have 4 credit cards, each with a $5000 credit limit.  Two have no balance, one has $4100 charged, and one has $200 charged.  \n\nYour credit limit totals $20,000, and your debt is $4300.  So your "debt to credit" ratio is 21%.  Not bad, but could be better.\n\nNow lets cancel those two unused cards....\n\nNow your credit limit is $10,000, but you still have $4300 in debt.  Your new debt/credit ratio is now 43%, twice what it was before!  And this sudden change in your debt will also have an effect on your credit score.\n\nGo to the link below.  This is the home page of the folks who developed the FICO credit scoring system.  There is lots of information on how to improve your score, and other usefull hints.
974056
Try not to spend on the cards anymore. That's the most important factor.\n\nCan you sell stuff? Ebay or whatever, you'd be surprised what people buy. Any income, pay it off your cards.\n\nEconomise on your expenses. It's possible to eat pretty cheaply y'know. \n\nIf you're making all your payments, then your credit rating is probably OK. See if you can transfer any balances to lower interest cards. Make SURE you close the old cards off - call them to cancel the accounts. \n\nMake minimum payments on all but one card. (The one with the lowest balance). Overpay that one. Even a few bucks will make a difference. Another thing that makes a difference, even if it's only a dollar or two a month is to pay early. Make sure that the card payments go out as soon as you're paid. Then you know how much you have left and they'll charge you less interest. \n\nBut won't it feel good to have even one card paid? When it is, hit the next card. It will take a few years.
118797
Buy some furniture and pay it off on their 30/60/90 day no interst plan.\n Be sure to pay off the balance on the third payment.\n\nReally, you are young and have a lifetime to pay their pockets.  You won't have any problem getting a credit card. Ask me later how you can get out from under 20k debt.
978354
Your credit score won't be affected unless you make late payments.  You're okay.\n\nGood Luck!
1131097
the fact is you still owe money on the credit card\nwhy not be like most other people and pay your credit card bill