What should I do???

[Tigger_Magic]

So when I get other Christmas gifts, we should return them as well for cash and pay that amount towards this debt???

You had no problem running up the debt. So why are you now balking at paying it off? If I were in your shoes, I'd do whatever I had to do to pay off what was owed, including selling Christmas gifts on eBay.

 

[Jon99]

You might be the kind of person that would sell gifts from your mother and children, I am not..

 

[DoeWDW]

Since you're not spending any of your own money to go on the trip, and since the stress of this and running your own business can ruin your health and sanity, I heartily advocate taking that trip and enjoying every moment of it! It's a gift and is to be enjoyed. You should not feel one bit guilty about accepting this generous gift.

You are doing the adult thing - taking steps to contact whoever is now in charge of the debt and making arrangements to satisfy them. Bravo to you! This is not easy - it takes true courage to face up to mistakes, even those that happened 5 years ago, and do your best to make them right.

With all your other debts being close to paid off or already taken care of, you are in a perfect situation to now take care of this one.

Best wishes and say hi to Mickey for me!

 

[SEAlla]

OP, go on your trip as long as it really was a gift and won't cost you anything extra. I'm not sure if these people expect you to cancel and ask mom for the money that would've been spent, but what good does cancelling the trip do?

I personally think cancelling a trip that you didn't pay for an don't expect to spend anything extra on is ridiculous and adding insult to injury. You know you screwed up...your mom doesn't need to know it too...IF you behave like a grown-up and take steps to fix it.

My thoughts exactly...

 

[Tigger_Magic]

You might be the kind of person that would sell gifts from your mother and children, I am not..

Nope, I'm the kind of person who pays the debts they incur, not the kind of person who chooses to ignore them until they get hauled into court and forced to pay.

 

[vacanut]

I don't believe you said whether you own property or not, but is possible to get a home equity loan or a personal loan from the bank to pay off this debt? You say you are paying off all your other loans, truck loan, student loans, etc.

You really need to step up and take care of this before it ruins your credit even more.

Good Luck and enjoy your trip in December!

 

[DoeWDW]

Tigger Magic, it seems that Jon99 is taking the steps necessary to be the kind of person who pays his debts also, before he gets to court. He made a mistake, he knows it, he's doing his best to fix it. Just because his WAY of fixing it is not YOUR way of fixing it doesn't mean that he is not on the right track.

Why continue to beat him up?

 

[lillygator]

Nope, I'm the kind of person who pays the debts they incur, not the kind of person who chooses to ignore them until they get hauled into court and forced to pay.

really uncalled for...

go on your trip and have a blast...

call the atty and find out what kind of payment plan you can work out.

Don't worry about the rude comments....everyone does stupid things in life at least you can admit yours...I'm sure the people giving such thoughtful advice are PERFECT! - you never know what is on the other end of the computer!!

 

[mickeyfan2]

So when I get other Christmas gifts, we should return them as well for cash and pay that amount towards this debt???

You could ask people who are giving you presents to either not exchange this year and you apply all the money you would have spent toward your debt, or get all gifts in check form made out to your back and send them in.

 

[Crankyshank]

Omg I can't believe you ignored a 11k debt in hopes it would just go away

That said, I would say don't cancel the trip since you're not paying for it. In the future I would suggest that you mention that instead of vacations and such for gifts you would prefer gift cards for grocery shopping or money to pay off your debt.

I would also cut down any unnecessary expense (cable, switch to dial up internet, bag your lunch, don't go out to eat, etc...)

Call Citibank and try to negotiate a payment schedule and a reduction in total debt. Check out creditboards.com

 

[Steffi]

I personally think cancelling a trip that you didn't pay for an don't expect to spend anything extra on is ridiculous and adding insult to injury.

Ditto.

 

[Aidensmom]

Have to comment here...

OP, go on your trip as long as it really was a gift and won't cost you anything extra. I'm not sure if these people expect you to cancel and ask mom for the money that would've been spent, but what good does cancelling the trip do?

Next, either call Citibank directly, call the credit agency, or call an attorney and have him contact them. I work for an attorney and know that sometimes an attorney will get more accomplished than the average person.

Not sure why you would just ignore a card with a high balance, rather than paying something toward it each month, but I guess that's a lesson learned.

I personally would call and set up a plan to pay the ENTIRE thing off, not just a settlement -- because from what I've seen from DBF's credit report, that counts negatively as well on your credit report. Yup, you'll be paying a minimal amount forever, but you'll have the satisfaction of not having taken the easy way out.

I couldn't have said this better myself.

 

[Kermit]

If I were in your shoes, I'd make paying that debt off my biggest priority. That means adding AT LEAST one part time job, and maybe even more if you have the time. Delivering pizzas at night will give you a good amount of cash.

As for the trip, didn't you say it's going to cost you about $1,000? That's a lot of money. That's 1/11 of what you owe. Plus, you won't be able to earn any money while you're there. Can't you just tell your mom that you're having money problems and you'd like to be able to postpone the trip? Not going isn't your punishment for running up debt--it's just the best way to deal with the problem you're facing right now.

 

[DoeWDW]

Kermit the $1000 is in Disney Dollars that are being given to him by his Mom as part of the gift. She clearly intends that money to be spent on the trip.

 

[ducklite]

1. How much of the debt is actual "debt" v. interest. Citibank is more looking at getting their debt back more than the interest. If you can borrow from someone to pay the "debt" portion, they might be willing to settle.

2. Try to keep this from going to judgement. A collections account looks better than a judgement.

3. Another reason to keep it from going to judgement is interest. Once a judgement is taken against you, the interest is set by the court, and it keeps accruing.

4. A judgement is a lien against you and your property. They could literally seize your business assets if you are a sole proprietorship. You can not purchase a home with an outstanding judgement.

5. The idea of working a part time job is a very good one. Call Citibank, and then their attorney and tell them your plan. Realistically, if you are both working 10 hours a week p/t, after taxes you are looking at $5 per hour take home more than likely. This will take you two full years to pay off. Do not make promises you can't keep. Tell them you can pay them $700 a month--that would be based on working p/t and the money you'll have left in the budget after the truck is paid off. It's a "real" number. Tell them you will put this in writing.

Good luck.

Anne

 

[kelleigh1]

I think you've gotten some pretty good advice here on how to get this debt paid off and hopefully repair your credit.

My only advice...teach your children the lesson you just learned. Make sure that they understand that debt doesn't just go away if you ignore it and that they need to spend wisely - especially during their college years. Personally, I think all credit card companies should be banned from soliciting college students.

 

[ducklite]

My only advice...teach your children the lesson you just learned. Make sure that they understand that debt doesn't just go away if you ignore it and that they need to spend wisely - especially during their college years. Personally, I think all credit card companies should be banned from soliciting college students.

This is so true. I feel that all college students should have access to a credit card for emergencies, with a bill that goes to mom and dad every month. The credit card companies have a very specific marketing plan to hook college kids, and it's unfortunate that a high percentage who get these cards end up in trouble.

Another thing that you can do is to give your teen a credit card BEFORE they go off to college to help reinforce responsible spending. And have them sit down with you while you pay bills. I honestly think most kids have NO IDEA of how much the "real world" costs. My son sat with me a few weeks ago while I paid bills, and I honestly think he about lost his chin on the ground when he realized how much it costs for car insurance, mortgage payments, and groceries.

Anne

 

[rascalmom]

I was in your shoes when I was young too. It's tough, but you have to own up to the fact that you got yourself in this position. Call the Citibank attorney today & ask them how to work this out without going to court.

I understand that the trip was a gift - that was very generous of your Mom. However, when you own your own business, the most expensive part of any vacation is the time taken AWAY from that business to go on vacation. It's not like working for a big corporation where you are paid for vacation time off. When you own a small business, you generally have to be there working to make any income. I realize that depends on the business - perhaps you have employees who keep it running in your absence? Even so, you could possibly cut payroll expenses by doing some of the work yourself.

So, I would look into seeing if the trip could be rescheduled and put that extra money you earn during that time you were planning to take off towards the debt. I'm a mom - I would want my child to do the right thing in regards to their obligations! Postponing isn't showing unappreciation for her gift - it's being adult enough to take care of your commitments before you go off to play.

 

[Miss Jasmine]

Omg I can't believe you ignored a 11k debt in hopes it would just go away

That said, I would say don't cancel the trip since you're not paying for it. In the future I would suggest that you mention that instead of vacations and such for gifts you would prefer gift cards for grocery shopping or money to pay off your debt.

I would also cut down any unnecessary expense (cable, switch to dial up internet, bag your lunch, don't go out to eat, etc...)

Call Citibank and try to negotiate a payment schedule and a reduction in total debt. Check out creditboards.com

good advice.

I, too, wonder how someone thinks an $11,000 debt will just magically disappear.

 

[LindaR]

Sorry, but I think this is so funny........in a sad way. Here is a person who is in denial (or was) about his debt. Has taken a few vacations and gosh knows, what else instead of paying HIS debt. NOW that he is facing trouble, he wants advice and sympathy BUT doesn't want to give up that vacation! Several posters are enabling his irresponsible behavior. He needs to "learn his lesson" the hard way...........make sacrifices and suffer a little and show some responsibility.....THAT'S how you really learn a lesson. You sound so very "spoiled". You want "things" but don't want to sacrifice for them or pay for them.

When are you planning on growing up?