I Want to Pay Off My Credit Card Debt - Where Should I Start?

Reader Question: I stopped paying my credit cards bills 2 years ago (debt was $14,000). I changed my cell number, moved away from the home I was living in. Now I want to pay the bills off, month my month. What is the best thing that I could do?

Because of the amount of debt you have, you might want to get some credit counseling. Believe it or not, you can get some excellent counseling without paying for it -- or paying very little. For example, the National Foundation for Credit Counseling (NFCC) is a non-profit organization that helps people in situations like yours. From what I read on their website, many of their counseling and training programs are free, or very affordable.

Granted, you could probably do what they would do for you. But sometimes it helps to have a "pro" in your corner, especially when you're talking about a large amount of debt. In this case, a credit counselor would probably help you set up a payment plan to pay off the credit card bills in monthly fashion (as you mentioned in your question).

I'm willing to bet the credit card companies have turned your accounts over to debt collection agencies by now. That's typically what happens when somebody stops paying their bills. So the repayment plan would probably be coordinated through the collection agency, with the credit card company's approval.

As you may already know, however, debt collection companies can sometimes be jerks when you talk to them on the phone. That's why you might want to arrange some kind of payment plan with the help of a credit counselor like the NFCC. I don't work for the NFCC, nor do I get any kind of "kickback" for recommending their services. I've just heard a lot about them in the past, and most of what I hear is good.

Hope that helps. Good luck.