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Community Support Team Member Since Mar 2006
Location: Ontario, Canada
Posts: 11,281
18 75 hugs
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#1
Back in 2012, I was a mess. I was drinking and doing drunk on-line shopping. I had no income except what I was allowed to withdraw from my pension plan. And so I racked up 44K in credit card debt. I was drowning, just trying to make the interest payments.
So I went to a non-profit credit counselling agency and they said my best option was to declare bankruptcy and start over with a clean slate. I was really hesitant at first, but decided to go for it. It was hard at first since I had a maximum monthly income, and couldn't have any credit cards, and had to report my monthly income/expenses to the trustee, but I did it, and was discharged after 9 months. I also had to get more credit counselling which turned out to be invaluable advice. It was weird living without a credit card, but I got a virtual visa debit card that I could use for on-line or over the phone ordering. Then 2 years ago I applied for and got a secured credit card, with a low limit, and just used it once a month for my grocery bill, and paid it off right on time, in full. Then late last year, I decided to see if I could get a regular credit card. I applied and somewhat to my surprise I qualified for a low interest, low maximum credit card. I'm using it every month and paying it off in full. This is really helping me rebuild my credit rating. But I still had the bankruptcy and all the credit cards that were written off as bad debt listed on my credit report. I have a credit monitoring service that I use and when I checked it at the end of June, I realized the 7 year period was up and so the bankruptcy and all the bad debt info was gone. So I now have a clean slate going forward. I just have to be careful not to repeat the same mistake. I know the rules between Can. and the US are different, but if you're really in debt, bankruptcy can be a good solution for some people. splitimage |
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LucyD, unaluna
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LucyD, unaluna
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Legendary
Member Since Mar 2018
Location: United States
Posts: 10,760
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#2
I'm glad you've learned to pay off your debt each month and that you have a clean slate now.
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Magnate
Member Since Feb 2013
Location: planet earth
Posts: 2,986
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#3
Interesting I am paying down a debt management program now I have 2 years left on monthly 87$ payments. I turned down Walmart credit cards and other credit cards like Canadian tire even if it looks too good to be true which honestly it does. I always tell myself never again. But I repeat the same stuff every so often.
My mother taught me how to have a poor credit rating it seems. I watched her when I was younger max out credit cards and take out another mortgage. And sneak around doing this behind my dad’s back. So finally when I got my first credit card at 19. I maxed it out but then paid it off when it came in to pay it. I also am a shopaholic and cannot pass up a deal. I feel like i am emotionally attached to money even if it’s plastic card or cotton money. __________________ Love, Light and Happiness!!! |
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Grand Poohbah
Member Since Apr 2015
Location: USA
Posts: 1,818
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#4
I know how hard that must've been. I am going through it now. I go to court next week to find out whatever they do there. I was a wreck about it but with increased meds I am tolerating the stress of it better. Congrats on your credit being restored.
__________________ One way to get the best out of life is to think of it as an adventure. William Feather Medications: Risperidone-1 mg.daily, Propranolol-20 mg. daily, Gabapentin-600 mg daily, Melatonin-3 mg. at bedtime, Nicotine Lozenges-2 mg., Vape Liquid-3 mg., One A Day Vitamins,
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New Member
Member Since Oct 2019
Location: Usa
Posts: 4
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#5
Thank you for sharing your story. I need to do the bankruptcy as well. However, the attorney I spoke to wanted 1,600 dollars for it.
During my hypomanic state I spent all my savings and maxed out all my credit cards. Now I am severely depressed and all the creditors keep calling me. I am so disappointed with myself, because my credit was very good. Now it is terrible and I need an appt. Dont know how I will get an appt. I am living temporarily with my brother. |
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