Okay .. I posted a very general question earlier this week in another area of this Credit Card area and received no responses. I'm guessing that's because I was (kind of) all over the place on this topic and don't know really what to ask or expect.
I have had excellent credit for as long as I can remember and am really very sick about the thought of deciding not to pay my credit cards .. beginning this month. Over the past 5-6 months, I have used my Citi card quite a bit to help pay regularly budgeted items, so that I could manage the mortgage payment on my own. My self-employed husband was hurt this past winter and has not been able to work, so consequently could not provide our mortgage payments as he would have normally.
I am looking into loan modification and am getting some help with pulling all that together. But, when you look at my whole financial picture (right now) .. well, it just can't work. So .. I MUST do something about the credit card debt. I have been told, by another .. whose husband was out of work last year, that she did not pay her credit cards for 90 days. The banks would not talk to her about "helping her" until she was denliquent for 90 days. After those 90 days were up, she called her credit card companies and they took all late fee's off and adjusted the interest rates, to make her payments more doable for her. Does anyone know if what I spelled out here is true? Do credit cards operate that way?
My credit cards are:
Citi at 16.99 percent - current balance 15685.36. Last payment was $351.51. I think next statement more, because have used again.
Capital One at 17.99 percent - current balance 4954.39. Last payment was $124.
Chase at 11.24 percent - current balance 1274.46. Last payment $25.00
I am specifically wondering .. what would happen if I did not pay just the Citi card. (The largest balanced card) Someone told me (don't know if it's true?) if I let one go, I might as well let all of them go .. because an up in interest rates will follow on all of them, even if you only let one go delinquent. Is that correct .. does anyone know?
I have consistently received offers to "transfer balances" from all kinds of banks over the past years. I always tear them up and throw them out. Would I come out ahead (if they allow that large of a balance transfer .. I'm guesssing not?) by transferring to one of those cards and paying a "0" interest rate for a year. ..Okay, I guess it would go without saying that I would pull out ahead on that kind of deal .. but what is the real probablility that I would be okayed to do that? Are there any drawbacks connected to doing something like that?
Can anyone here confirm what I've indicated here to be true? Does anyone know if there is anything else I should consider .. in regards to helping to fix the situation I am in now?
Any info you might have to offer would be much appreciated.