This is my online journal documenting my attempted escape from debt hell. If you think that applying the term "hell" to being in debt is too extreme, you've probably never come close to the point of no return.Please feel free to follow me on this escape mission, maybe all of us will learn a thing or two along the way.

Thursday, March 13, 2008

Today was not a good day, but at least I learned a few things

Like yesterday, the Ides of March crept up on me again with yet another phone call from a creditor, responded to with hastily made payment arrrangements that I hope those who pay me will allow me to meet (I'm behind on several payments because commissions have been late coming in) .

It is so frustrating knowing that in 3 weeks time, I will be receiving enough money to propel me on the first leg of the journey to eventual financial freedom, but that I have to get through the next three weeks, during which my "best friends" will be accounts receivable personnel at my cell phone company, two credit card companies, and the phone company. The main thing is to survive those 3 weeks without having phone service cut off, or a credit card charged off.

I would not wish this kind of living hell on my worst enemy.

Today, I contacted the local credit union to discuss what possibilities there were to roll over some high interest debt over to a low interest loan so as to reduce monthly payments with a view to making debt repayment, and day to day life easier, but to no avail. I would have to join the credit union, and bank with them for a year to qualify for an unsecured loan, especially given my FICO score. (IMHO, Isaac is NOT Fair!) . However the girl on the phone was helpful in terms of educating me on how to play the game , and thinks it possible that I can raise my FICO score to acceptable levels within 6 months, buy sticking to a debt repayment plan, and MAKING ABSOLUTELY SURE that for the next 6 months I Make ALL credit card payments by the due date and NEVER exceed the credit limits of any card. Apparently that can ding your score like nothing else, even if you go over limit by a dollar!
My intention is to never borrow new money again, from this day forward, but within 6 months, I would like to get a 0% balance transfer card so I can shift as much high interest debt as possible to them and pay it down aggressively over a year. The cards whose balances I would transfer over would of course, be cut up and the accounts never used again. I will not close accounts until my FICO score is back at an acceptable level.

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