What Debt are you comfortable with..

[Lestat]

I have about 15,000.00 on credit cards alone.

I have 30,000.00 in Student Loans.

I have 6,000.00 left on my car.


But for some reason I never stress about it... that's a little over 50K total.

I do have 9,000.00 in stock.... would have been 25,000.00 but the damn market crashed.. I make 40K a year or so..

I was thinking of using a debt agency to restructure the 15K on credit cards.. but was not sure if it was worth it.. it hurts your credit a little. Has anyone done this before? I think they call your credit cards and say "hey man this guy is gonna go bankrupt.. how about he pay you 7,000.00 over the next year instead of the 15,000.00".. but I am not totally sure how they work.

Brian

 

[Y_lifter]

House and 1 vehicle Payment low enough to allow 2 months of cash flow if I lose our jobs.

As far as other credit debt, If I can't pay it off in 2-3 months, I don't buy it other than a vehicle and a house.

 

[rnch]

lestat:

can you make a 401k loan??

if so, the interest rate is usually MUCH cheaper than the blood sucking credit cards or a signature loan from your friendly vampire banker (no offense, MP-5!).

i must be unusually conservative. when my visa card got over 4 grand i couldn't sleep at night i was so worried about it!

 

[Lestat]

I can do a 401k loan, but I'm only 25 and I think i only have 8,000.00 in there so far.... and you can only loan off half of that.

Brian

 

[saint808]

debt free for a lil over a year now... i highly reccomend it if you can ever do it... it's like taking a 45 lb plate off your back

 

[CrimsonKing]

I had credit card debt when I was younger.. but not anymore.. that revolving stuff is worse that the mob!.. Only debts I have is 1 car payment and morgtage (75%LTV)