Can you please tell me 4 or 5 different ways I can quickly and legally
eliminate my credit card debt without adversely affecting my credit?

Please be as detailed as possible with each option.

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Clarification of Question by taffy234-ga on 23 Jan 2005 11:17 PST

So I can share the answers with a group of people I am trying to show
alternative strategies to bankruptcy.

Well if you have any credit cards you can transfer all of your dept
"if you have room" to one credit card with the lowest intrust rate.
And to pay off your bills you would need to pay more than the minumun.
For instance if your bill is $50.00 a month if you keep paying that
amount, you are basically paying just the intrust. So you would want
to try to pay more than that as possible. Stop spending. You can buy
what you need. But stay away from things you don't. If you spend
$20.00 a week on a dvd that would be $80.00 b the end of the month. So
from skipping the extra spending you would have a extra $80.00 a month
you could use on your bills. If you rent furniture, stop. Go by
something cheap from a garage sale or the likes. Renting house hold
items is expensive. Proof of this I was in the market for a new tv a
while back I went to Sears to check prices. Then I figured maybe I
could svae a couple of hundred dollers by hitting a rent to own and
buying a pre used item. And when I got there the exact same tv was
higher priced if I bought it out right from them. Needless to say if I
would have rented it it would have cost me double of there asking
price which was higher priced than Sears.

Possibly pertinent comments here:

http://answers.google.com/answers/threadview?id=320782

The real thing is you can't. Short of taking over someone else's ID. 

BTW... FYI... I wouldn't do that... you'll be in a bigger mess that
what you started out with...

Thus brings me to my next point.

...How are you paying for this?  LOL!

Good luck buddy. 

IMHO, Don't use normal credit cards. Get a secured card from your
bank, use it pay it on time. If you get in a bind DONT USE IT! EVER.
Only buy your gas and cigs on it and use it as a revo credit source
for your credit. One good card helps you almost 100 points. Thus all
you need with a house payment / new car you have all three thus
prefect credit if all are paid on time.

There are several ways to eliminate the debts however you may consider
debt reduction or credit counselling if you're in Canada you may wish
to visit http://www.credit-canada.com or go to
http://www.debthelpcanada.com

If your in The US there are many sites that offer alternatives.

The overwhelming task of eliminating your debt can often seem like an
uphill battle. Without the knowledge and expertise of a professional
on your side, unfortunately, the odds are not in your favor. In order
to reduce your debt, you have several options; however, if you want to
maintain a "good credit rating", you have to pay you bills on time;
anything else will cause your credit score will suffer. With that
being said please consider the following:

Option 1 - Consumer Credit Counseling

Consumer Credit Counseling companies were originally established to
help credit card company's recover revenue from clients that were
falling behind on their bills. Choosing to use a Consumer Credit
Counseling service can have negative effects on your credit that last
up to 10 years. These services are also considered Chapter 13
Bankruptcy by most lending institutions. The bottom line is that
Consumer Credit Counseling companies work for the creditors and banks.
By using their services, you will end up paying back your full debt,
plus interest. These companies do not always provide financial relief
as consumers often find out.

Option 2 - Debt Consolidation Loan

Borrowing from Peter to pay Paul is no way to get out of debt. It is
however, the premise behind debt consolidation programs. Debt
consolidation programs require that financial institutions provide
consumer loans based on items of equity. For example, a home equity
loan is used to "combine" your debts into a single monthly payment,
which can often take 10 to 20 years to repay depending your on
financial situation. This may seem like a viable solution in the short
term, but missing payments on a secured loan could cause you to lose
your home or the collateral you pledged. Many people who decide to go
the debt consolidation route find themselves worse off than they
originally were. It is not a good idea to exchange your unsecured
debts for secured debts.

Option 3 - Debt Negotiation and Settlement Programs

Debt settlement programs provide their customers with a viable
solution to an otherwise complex problem. By helping eliminate your
current debt, Debt Settlement programs allows you to regain control
over your financial affairs and allow you to become debt free within a
reasonable time frame. Debt settlement is fast becoming the only true
option to financial recovery! However, I will say it again, even in
Debt Settlement you have to pay you bills on time; anything else will
cause your credit score to suffer.

Debt settlement is not a Consumer Credit Counseling Service or a
consolidation loan. Debt settlement is a legitimate and legal way of
solving your debt and credit problems without the need for bankruptcy.
It's a program that has been specifically designed to lower your
current debt by 40-60%. This is accomplished by negotiating approved
payoff amounts with your creditors.
Debt Settlement can typically be completed within 36 months or less
and eliminate most, if not all, of your current debts.

Alan Barnes
IAPDA Certified Debt Arbitrator and
President and CEO of Debt Regret
http://www.debtregret.com

The first step in any Debt Elimination Program should be the
conversion of that debt from a high interest loan to a 0% interest
loan. This is much easier than you might imagine and actually improves
your credit in the process when it's done properly. Many simple
strategies have been developed by me and others to accomplish this,
one of which I will share with you below.

The benefits for making the conversion are obvious:

1. The entire monthly payment on the 0% loan is applied to principal
so the loan is paid back much more quickly.
2. Your credit status is enhanced with the credit card company whose
loan was paid back in it's entirety with one payment. More often than
not, that company will offer you inducements to encourage you to
borrow from them again. Some credit card companies offer hundreds of
different cards, many offering new customers 0% interest for purchases
or balance transfers. You are much more likely to receive such offers
from a company after paying off one of their loans in one swoop.
3. Borrowing cash without paying interest is fun. In addition, it's a
very smart thing to do if the borrowed money is used intelligently, in
this case to pay back high interest loans. Of course, discipline is
required here because you must resist the temptation to use the card
that is now free and clear. I recommend tearing up the card or closing
the account. Returning the card to the credit card company "because
you no longer need it" makes you a better credit risk in their eyes.
Banks love to make loans to people who don't need the money!

I'm willing to wager I'm the only person here who will provide this
solution because there's virtually no information on the Net or in
books about this subject. Almost everyone believes it's impossible to
borrow cash without paying interest or cash advance fees. Ask your
banker or your accountant if it's possible and, much more likely than
not, they'll stare at you as if you're crazy. In fact, there are many
legal and ethical strategies for doing so but they are not publicized.
With most strategies, all the steps are purely mechanical. Absolutely
no skill is required.

The simple strategy I'll furnish below barely scratches the surface of
all the different ways to borrow hard cash without paying interest and
fees. Many involve the use of 0% credit cards but some can be
implemented with almost any credit card. Before I show the strategy, I
must stress the point again that the money must be borrowed for a good
purpose, not to take a vacation or buy a big screen TV. You must be
prudent and shrewd when borrowing cash. In addition to paying back
high interest loans, another example of a good purpose is a "payday"
loan to yourself. Why go to a company offering payday loans, as
millions of Americans do every year, when you can use your own credit
cards to borrow cash to tide you over until you receive your next
paycheck?

OK. As promised, here's one simple strategy for borrowing cash without
paying interest. As mentioned above, there are many others. Taffy234
has requested that I provide as many details as possible so I'm doing
so.

THE EASY BUXX STRATEGY

Prerequisite: Any U.S. Bank® credit card with $0 balance, although
cards from other banks can be used if you're willing to pay small
fees. A $4,000 line of credit is required if you wish to borrow the
maximum of $2,000 interest free.

Recognizing the importance of teaching teens how to handle money
responsibly, U.S. Bank® has created a reloadable prepaid card called
Visa® Buxx. Parents apply for the card online or at a U.S. Bank®
branch and fund it with a U.S. Bank® credit card. Visa® Buxx is a
debit card, not a credit card, but is funded by a credit card. The
maximum amount that can be loaded onto the card is $2,000. Parents
give the cards to their teenage children to help them learn money
management. Parents or teens can go online at any time to check the
card's balance and purchase history but only parents can reload the
card with additional cash so parents retain complete control.
Recognizing that some parents may need cards for more than 1 teen,
U.S. Bank® allows parents to order up to 4 different cards.

Although the card is designed for teens, U. S. Bank allows the cards
to be issued to adults so you don't need children to participate. The
card is welcomed by millions of merchants for purchases but you will
be using it to obtain cash from U.S. Bank® ATMs. Here's the best
part... U.S. Bank® classifies the ATM withdrawals as PURCHASES, not
cash advances! This means you will NOT be charged a cash advance fee,
an ATM fee or interest if you follow all the rules.

Here are the instructions:

1. Apply for the card online at the Visa Buxx website.

http://usbank.com/cgi_w/cfm/personal/products_and_services/checking/visa_buxx_ps.cfm

Put the card into the name of your child, spouse or other relative
using that person's social security number. You can not put the card
into your own name!

2. There is a One-Time Enrollment Fee of $10.00 but this is the only
fee you will ever pay if you use the card correctly. The Visa® Buxx
card will arrive in the mail in about 1 week.

3. Activate the card by calling 1-888-314-BUXX. Select your own password.

4. Sign in at the Visa Buxx website.

5. Fund the Visa Buxx card with your U. S. Bank® credit card. You can
use another credit card but if you do so, you will be charged fees.
You can load up to $500 per transaction. Do this 4 times in one day if
you want to load the entire $2,000. Total money transferred to the
card may not exceed $2,000 over any 30-day period.

6. To maximize the free interest period, fund the card one day after
the monthly closing date for your credit card. For example, if the
closing date is October 1, load the card on October 2. This date
changes slightly each month so contact U.S. Bank® to determine the
exact date each month.

7. Pull out the cash at any U.S. Bank® ATM. The maximum withdrawal is
$500 every 4 days so 4 visits are required to pull out all the money
at ATMs.

8. You should be able to use the money interest free for about 40 or
50 days. Before the payment is due, borrow another $2,000 and pay the
bank back with their own money! Remember, you have to wait 30 days
before you can transfer more money to the card. To continue using the
dates above, transfer the money about November 2, pull out $500 4 more
times and pay the bank back the entire $2,000 (or more) before about
November 20. If the 4-day cash withdrawal rule creates problems,
borrow only $1,500. Do this month after month as long as the program
lasts. It's really very simple:

1. Obtain the card.
2. Load the card.
3. Pull out the cash.
4. Pay the bank back with their own money.

If you receive a solicitation for a 0% "Balance Transfer" card, you
can use that card to pay off the loan in its entirety provided that
you are not charged a 3% fee for the transfer. There are strategies
for borrowing cash interest free using 0% "Purchase" cards as well but
I won't discuss them here. If you're borrowing the money to eliminate
credit card debt, your entire payment will be applied to principal.
Just make the same payment each month that you're paying now, not the
minimum payment. It's a lot easier when you know none of the money is
going to interest.

Note: Instead of loading the Visa® Buxx card immediately, you can hold
the card until you need cash and then load it, avoiding the huge fees
and interest charges you would encounter if you took a cash advance
directly with your U.S. Bank® credit card! You won't be charged the
$2.00 Inactive Card Fee unless there are no value loads, purchases, or
ATM transactions for more than 90 days. If you order multiple cards,
you can pull out more than $500 at a time.

I realize that borrowing money to pay off debt is controversial
because I'm offering a solution that very few people have ever thought
about. Sometimes new ideas are hard to accept.

I would certainly welcome constructive criticism but hopefully no one
will suggest that I'm making matters worse by encouraging people in
debt to borrow more money because that certainly is not what I'm
advocating. With my strategies, debt doesn't increase at all because
money borrowed from one bank is used immediately to pay back another
bank. My strategies simply take one load off a debtor's back and
replace it with another that's not as heavy.

I also realize that some people are in debt because they lack
discipline in financial matters and therefore might have difficulty
sticking to the plan but the strategies I've provided should not be
denigrated because some undisciplined people fail to execute them
properly.

I certainly don't claim to be the only authority on this subject and
would love to read other 0% interest strategies as long as they're
legal, ethical and easy to implement.