Best answer from question by Ashleigh:
Answer by Theatreman1
Please dont ever consolidate debts. $ 2600 is not a large amount of debt – if you make more than the minimum payments, you will pay this off pretty quick. See what the interest rate is and if it is not good, then get a loan with a better rate of interest. But don’t use debt consolidation companies, what they do is to consolidate your debts, and make you pay them off over a much longer period at a ridiculous rate of interest (normally upwards of 20%!!). This can easily turn your debt of $ 2600 into well over $ 7000 total re-paid.
Debt consolidation should be banned – it is robbery.
Best answer from question by bad_bones2883:
Answer by Rick B
Call all of them and work out a payment plan and try to get your interest lowered or stopped.
Then, make the minimum payments on every one of them. On the lowest dollar value, put all your extra effort toward paying it off. Once it is paid off, then roll that extra money to the next largest balance. Continue this snowball until all your debts are paid off.
You probably need to cut your expenses back to the bare minimum. Get rid of cable, cell phones, internet, etc. Lower your electric bill, gas bill, water bill, etc. Don’t eat at a restaurant until your debts are under control. Take a sandwich for lunch. Cancel the gym membership.
Try to increase your income by getting a second job. If you have a car with payments, get rid of it, and buy a good dependable used car for CASH.
Go to the library and get “The Total Money Makeover”. Read it and follow it carefully.
Go check out Dave’s website as well. Yahoo is blocking his site again, so take out the spaces in the following:
www. Dave ramsey. com