I have some at zero percent interest, but only for a year to a year and a half.
Whats the best starting point?
We are not using our credit cards anymore.
My husband and I both work, and we can pay this back.
I just need advice.
I am scared it will jump up to 25% interest before I can make a big enough dent.
We were turned down for a few consolidation loans.
Any advice on how to deal with that, or who to contact?
-M
Dear M.,
Its time to call in some backup and talk with a credit counselor.
A legitimate debt management plan shouldnt charge more than $50 per month.
The most nerve-wracking part is making the first appointment.
My counselor asked me a ton of questions about my debt.
Balances, interest rates, minimum payments.
She asked about my rent costs.
If I hadnt signed up for this, I would have thought it was invasive.
She crunched some numbers and sighed a little.
The best course of action would be to stay the course and keep making whatever payments I could.
No Interest Til Almost 2027?
It was hard to accept that a debt management plan couldnt help me then.
Like you, I wanted a plan.
The reality was that I had to form a plan on my own.
But the real key was to stay motivated.
As you rebuild your payment history, your score will go up.
The zero interest transfer offers will return.
If you might stay motivated, youll be well on your way to freedom from debt.
Disclaimer: Chosen questions and featured answers will appear in The Penny Hoarders Dear Penny column.
I wont be able to answer every single letter (I can only jot down so fast!).
We reserve the right to edit and publish your questions.
Dont worry your identity will remain anonymous.
I do, however, promise to give you honest advice based on my own insights and real-life experiences.
Lisa Rowan is a senior writer at The Penny Hoarder.
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