Scotty15

If you get a settlement with a creditor, the IRS will consider the difference between what you owed, and what you paid to be "income". Just a heads up for when tax time comes around next year.

magnamx-5

iTrader: (7)

yeah you get issued a simple 10-99 for the forgiven debt but overall most poeple wont have that as a factor.

ajbalmat

iTrader: (2)

much agreed. but i tell ya, i work in car sales, and the most "proud" people that i deal with are the ones who keep coming back every year or two to purchase a new vehicle and trade in their barely used one. each time making their monthly payment go up to payoff their negative equity, whining and fussing all the while complaining that a 900.00/month payment on a 20k dollar car is outrageous.

Braineack

iTrader: (62)

punch them.

ajbalmat

iTrader: (2)

i really want to, but that would make it a lot harder to sell them something.

Braineack

iTrader: (62)

eh. details.

ajbalmat

iTrader: (2)

details? idk...if you came to buy a car from me, and i punched you, would you still buy from me?

i think i'm confused here.

thagr81 us

iTrader: (5)

That would depend on if I deserved it or not... If I was doing that crap, then I would deserve it.

icantthink4155

iTrader: (12)

Every month we recieve a little booklet thing from our rental agency for our apartment. This month it has a section labeled "Understanding the credit score system: What it means to you." Towards the end in a part labeled "Some points to remember" it says "- A history of late payments is wiped off your credit score after seven years."

bbundy

Just wait till she tries to sell a house that she bought and finds there is a lien on it from a debt collection agency.

I refused to pay the state of Indiana income tax on income I didn’t even make in the state from 1984. Only lived there for 8 months my sophomore year of high school and had filed a federal income tax statement because I had a summer job in another state. Some debt collector who bought the unpaid debts from the state filed a lien on my house in 2003. This was the third state id lived in and the second house I had owned since not paying Indiana Income tax. Nothing I could do to sell my house other than pay the state income tax to the debt collector to remove the lien. Luckily I didn’t make that much money my sophomore year of high school so long ago.

Bob

rmcelwee

iTrader: (1)

I paid off $125,000 in CC debt in 1999 and haven't carried a balance since then. Paid off the house 2 years ago and the MSM 6 months ago. My goal is a credit score of ZERO (it drops ever time I check it).

What is interesting is that when we paid off the $125K we had 22 maxed out cards (12 were my wife's and she had not had a job in 10 years!) and I used to get a stack of fresh CC offers every week. I never get one in the mail now. In fact, a lot of my junk mail has stopped. I guess they realize that I am just not a good customer any longer.

gospeed81

iTrader: (51)

I've read several of your posts on this...and you're still my hero.

We unfortunately still use our card for gas, and pay it monthly, just for convenience.

I would appreciate any tips you have on living frugal though...you seem like a pro. Anything you've written up anywhere besides here?

rmcelwee

iTrader: (1)

I was writing a long post but I will start a separate thread "How to live within your means (and be happy)..."

https://www.miataturbo.net/forum/t42130/#post496372

gospeed81

iTrader: (51)

Thanks

y8s

iTrader: (8)

credit can be good.

like using an airline miles card for paying your bills/rent and then paying it off at the end of the month. free miles!

bbundy

We use credit cards for most everything. Rarely carry over a balance though. Between investment savings and paying down mortgage debt which is our only debt we don’t carry large cash reserves so occasionally we leave a balance for a month on the CC usually it is when we have to fix something that cost allot and isn’t a normal thing that is budgeted for.

My car expenses are part of a budget. Freaking hard to fallow that budget. when we got married my wife had 60k in credit card debt plus student loans.

Bob