legacy visa: can someone help me figure out what to do?

Ok so I got a LEgacy Visa credit card a while back because I had horrible credit and I just wanted to bring up my credit rating. Well, no matter how much money Ive paid off on he card I cant get my balance down. The total I have ever charged on the card is less than 300 dollars and ive paid them atleast a 1000 since i have opened the card and I still have a balane of 600. I dont know what to do. I lost my job so I cant make regular payments and its just piling up and they wont stop calling me but like I havnt used their card in over a year and have paid them far more than i ever used. I really dont know what I can do in this type of situation. Any advice is much appreciated.

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  • 1 decade ago
    Favorite Answer

    First speak with the credit card people on the phone, tell them your situation, loss your job, etc, and see what they will offer you in order to get caught back up. Some credit card companies will stop or lower interest or the amount of minimum payment that they will accept in order to get paid.

    If they do not work with you, or are unwilling to make any concessions on the terms, then most cards, if you get to a certain point of being delinquent normally 90-120 days, they will make you an oral or written offer to settle the debt, they do want their money after all.

    The settlement of debts should only be done as a last resort, as it does damage your credit, and the CC company will send you a 1099C form, the amount of money you "saved" on settlement, will have to be reported on your income taxes the following year as earned income. Also if by obtaining this card, making your payments on time, you might has raised your credit score and improved your credit history, any settlement will just destroy your work on improving your credit.

  • 1 decade ago

    most of us figure, any interest rate is tolerable when it is the

    only credit offered to us......[till we qualify for other, cheaper credit.]

    U lost your job. YOU were not able to save money in your life or

    that which you did save went to the credit cards.

    a; stop answering the phone for 2-4 mo. use it only for

    making calls. and when it is answered, have someone

    else answer it.....or get an answering machine and only

    answer it when you like the caller.

    b. when you do get a job, pay off bills/budget in this

    order;

    rent, minimal food, gas, car insurance, and all the rest for

    the bloody credit card bill.

    try to get a 2nd PT job and allocate 100% of that job's net

    pay to the card. IT will take you 1-2 mo to pay it off that way.

    then, when the card is paid off and you get that CONFIRMED,.

    call the card company and cancel the card and then,

    tear up the card.

    soon, after all of that, you will qualify for a 15% card.

    --i used to carry balances; now I do not. The card company

    keeps raising my maximum balance and also they tried

    to increase my rate. I suggested they bring it back down, since

    they are now getting their money for free from the federal

    reserve!!

    luck

    [available to counsel you further]

    Source(s): biz teacher
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