Hi guys. I am trying to figure out how to survive after losing all my money to a scammer. Then I lost my car from an accident and need to get one asap to get to work because there is no public transportation available. I don’t even know what kind of car to look for.
Used Car estimate : 10k
Current savings: 10k
Paycheck: 5k/mo (net income)
Credit card debt: 10k
I own 10 credit cards for churning and cashed out all my points this week
I borrowed a 150k loan this month thinking I can get my money back but I was so wrong. Now I am facing:
25k credit loan /12 months from Chase apy 7.5%
25k loan for 36 months from Amex apy 7%
20k loan for 60 months from Wells Fargo apy 12%
30k loan for 130 months from Best Eggs apy 13%
50k loan from 401k
The monthly loan payment is too high, about 4k+, and a 401k loan takes payment right off from my paycheck, making net income 5k per month. One of my credit cards is offering 0% apy for a bit, and I am considering paying my rent and essentials until I figure out my priorities.
I thought about filing bankruptcy and got a free consultation. Due to my monthly gross income being too high, I am only eligible for Ch.13, where I have to pay about 2.5k+ for 5 years. That still doesn’t leave me much after rent, which I can not break until this winter. No tenant protection in my state, no roommate or sublet is allowed. I am also hesitant to file bankruptcy because it will leave a permanent record on my credit history, and I don’t know how much restrictions it will have on my future.
If I were to pay the loans by myself, which one should I take care of first? I tried to negotiate with banks, but none of them are willing to change the term. Chase has the highest monthly payment, and 2 other banks have the highest interest.
I have no one to borrow money from, and I don’t know what to do first with my last 10k cash.
Tldr: Need a car, but I only have 10k and own a 150k loan. I have 5k monthly income and rent is 2k until winter. Considering ch 13 bankruptcy but scared to do so. Is it worth it, or should i find another way to pay 150k my own. If so, what should I prioritize? Either way, I do not have enough money to cover the essentials to survive. What should I do.
Any insights or advice be greatly appreciated. Please no harsh words and criticism because I am already dealing with lots of stress and anxiety. Thank you.