This debt file comes from Greensboro NC (North Carolina). Marsha wanted to pay off her credit card debt of over $5000 dollars. $5000 isn’t enough for most debt relief and debt settlement companies because they usually require that you owe at least $10000 to creditors of some kind. The same goes for banks that generally won’t approve consolidations less than $10000.
But in Marsha’s case she didn’t have much income at all as she was a stay at home mom. Her husband works for the City of Greensboro and they live off his single income. Marsha got her American Express card and Visa when she was working for a Bakery in North Greensboro. But when she quit her job to stay home with the kids she had debt on her cards she could no longer manage.
Greensboro NC Credit Union ($5000 Credit Card Consolidation)
At this point Marsha has a balance of approx. $3000 on her Visa, and a balance of $2000 (roughly) on her Amex card. She didn’t want to bother getting her husband involved in her debt problem because he has enough to deal with all the family expenses and his job, etc.
She didn’t want to burden him with more financial stress so she was trying get rid of her credit card debt quietly without him knowing about it at all. Not what I would do personally – I believe all financial matters must be know by both partners in a household. Especially debt!!!
Anyway, as I mentioned above her biggest hurdle was that fact that she couldn’t find any lenders in Greensboro, North Carolina that would help her with consolidating a small amount of credit card debt like $5000 dollars worth. Of course when I say $5000 was a “small debt” I was thinking in relative terms.
Most all lenders and banks consider $5000 a very small debt as far as their overall customer base is concerned. We’ve even had some debtors on our sites who actually go ahead and spend MORE MONEY to get their debt up to $10000 worth so they can negotiate a credit card consolidation plan started with their local bank. Not advisable really unless you do it this way.
Greensboro NC Credit Union (Spend Extra $5000 on Credit Cards)
$5000 credit card debt initially.
+ $5000 more to $10000 but you spend that extra $5000 on something you can write for a small business and make money. For example, Marsha and her husband could spend $5000 on some lawn equipment and use to do small odd job landscaping (like cutting grass for people in Greensboro).
This brings up the smartest thing you can do with any kind of debt – take on debt purchasing items you can write off your taxes and make money using those items. This is what American Dreams are made of ladies and gentlemen.
I just had to add this idea because it’s such a powerful way start turning around your financial situation. If you’ve been in some really tight financial situations – dealing with runaway debt and daily stress – then you should consider some sort of money making idea as above.
Unless you spent that last $5000 for a reason like this example I wouldn’t do it. But alas – that is just my opinion. We’ve see hundreds of Americans choose to top up their credit card to debt to the $10000 threshold so they can get a legitimate consolidation loan from their bank.
Using Credit Cards After $5000 -$10000 Consolidation
So I have to mention this problem because so many people make this critical mistake. They consolidate their credit card debt and then they keep spending more money using their credit cards!! Big mistake friends. When your credit card debt is so out of control that you need to consolidate for a smaller monthly payment and a better interest rate, that means you need to change your lifestyle.
I KNOW what you’re saying now….not so easy fella.
Changing your lifestyle is necessary because only then will your spending and earning habits change for the better. You will be surprised though how much this may enrich your life – you may find your life is simpler and less stressful. Spending money may be fun in the moment but if you are accumulating enough credit debt that your starting to drown in high interest charges, then it’s NO FUN anymore. I’ve been there myself.
I personally did two debt consolidations, then a debt settlement, and then ultimately I claimed personal bankruptcy. I was physically and mentally ill because of it. The stress was intense – so much so that I was wondering if I should slip away and snuff myself. Thank god that never happened, but I mention this just so you know how bad my debt situation got.
What I eventually did was stop spending money on wants and only on needs. I lived minimalist style, but I was lucky because at the time my girlfriend (later my wife) DID have good credit so I was sheltered from the real pain of bankruptcy.
In the end I did change my lifestyle in a way that I earned more and when I had free hobby time I chose to make more money with my hobby instead of spending money like most people do.
Back To Greensboro NC Credit Union ($5000 Consolidation Loan)
Because Marsha was no longer employed she was not eligible to get ANY kind of credit card consolidation loan. She couldn’t apply for debt relief or a debt settlement program either. You need some form of steady income to use any of these services.
So if she wanted to pay off all her credit card debt with a lower interest rate consolidation, AND KEEP IT A SECRET from her husband, she was going to need some form of steady income. So what she did was find part time employment.
Part time employment isn’t always enough of a guarantee for financial institutions, but some will approve the consolidation loan if the income is steady enough and large enough. So Marsha found part time work in the evening working for a bakery in South Greensboro. She had experience in this job so it was the easiest way to get hired quickly. She knew her employer from her past job experience(s) and they got along well. She was guaranteed 15 hours a week and this helped with her consolidation loan request.
I bet you’re wondering where she got approved for this consolidation. Read On.
Credit Union in Greensboro NC – $5000 Dollar Credit Card Consolidation
Marsha applied for consolidation loan with her bank in Greensboro but wasn’t approved. She was told by her mother to try a local credit union that she also did her banking with. It was the Self Help Credit Union in North Greensboro. (map – full address is 3400 Battleground Ave, Greensboro, NC 27410 – phone (336) 852-5844).
The Self Help was perfect for two reasons. One she had a referral from her mother (not sure if that made a difference), Two she lived very close in Oakridge Meadows in North Greensboro which I not far from the Piedmont Triad International Airport.
She made an appointment with a customer service team member at the credit union and she told them the details of her financial situation. She told them everything including the request she had that her husband was not to know about the consolidation loan.
The representative was very friendly (they’re know for their friendly staff from what others have mentioned online). After discussing her options Marsha decided to she would consolidate up to $7500 by using her credit cards one last time to pay off another department store credit card she had. It took a little shuffling around but she was ultimately approved for the consolidation at a much lower rate than her credit cards.
Final Irony After Marsha’s Self Help Credit Union Consolidation
The whole idea of Marsha’s consolidation loan was that she would not bother her husband with it. When she was all done and approved she couldn’t wait to tell her husband how she got the job and got a great service from the credit union. She was proud of how she made a goal for herself and stuck to it.
She initially took scissors to her Visa Card and Amex Card after she was approved for her consolidation. After all the debt was paid at the credit union she did apply with Self Help for a single Visa card. She always pays off her credit card balance at the end of each month so that she never finds herself in a stressful situation with money again. She never just makes the minimum payment! She clears off her Visa card each and every month.
It’s GOOD idea to always have small amount of debt moving each month. It’s GOOD to use credit and REALLY GOOD to pay off all credit sources on a regular basis. This is how the dream credit score is achieved!