Credit Counseling for Seniors ? Need help for Mom plz...

[Kento-Moto]

Ok, so my step Dad allways handled the $ in the family and Mom never was very good at it. Step Dad passed away a couple years ago and Mom has got $5K+ worth of credit card debt now and doesnt seem to understand how it's not going to go down if you only pay the min. She gets about $1300 per month and has a little savings but is dipping into that more than she should...

I looked online but wasnt able to find a genuine FREE counseling site. She is not behind on payments yet but she needs a good education. I called AARP but the office was closed. I will try again tomorrow but wanted to see if any of you folks had experience with this?

BTW Mom is 72 years of age and is otherwise very independant and sharp.

Thank you - Kent

* Oh and no jokes plz, I really could use your help.

 

[Blanca BusaLess]

Just show her this .

5,000 paid at min payment will take 40yrs to zero and end up costing over 16k total with interest !

http://www.jpec.org/handouts/jpec61.pdf

Whatever she can do to pay it she needs to .
Take it out of savings and pay it off.
In the short run it will seem large but much better than minimum payments.

 

[jdsbusa]

Kent, a good start would be to call the cc companies and explain her situation, ask that the cards be shut off and see if they'll negotiate a reduced interest rate so that the amount she can pay will lower the outstanding balance. With the way the market is now I think cc companies are a lot more willing to negotiate than eat another bad debt they can't collect. It's not exactly what you were asking for, but it's a start.

 

[Blanca BusaLess]

My wife and I had more than one cc awhile back and we used a debt consolidation co.
They paid balances owed and we in turn paid them a reduced amount and lower interest rate. I realize she only has one card but she can get someone to pay it off or negotiate a lower balance and then pay it off. She can than make monthly payments to the debt co which will in total be much less than the cc .

 

[Kento-Moto]

Thanks guyz, I will use the above link for sure. She has some $ in savings to pay off the balance right away but I would like for her to take a course or get counseling to learn not to spend beyond her means.

Good info.

 

[rubbersidedown]

Pay off her miserable little 5k,take her cards etc...and someone step in and manage....

unless of course she's only spending someones inheritace.

Then I say... "MoM,go for it". Reno,Vegas,Cali,Hawaii....the sky IS yer limit.


RSD.