Are You OverExtended?

Are you managing your debt, or is it managing you? Practical guidance for managing personal debt and credit.

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  • Spending more than paying off
  • Trouble paying bills
  • Buying without down payments
  • Maxed out credit lines
  • Retirement not properly funded
  • No payoff strategy
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Recent Articles

What’s Actually on Your Credit Report and Why It Matters
Understanding Credit Reports

What’s Actually on Your Credit Report and Why It Matters

Your credit report is a record of how you have handled borrowed money and bills. It is not a score. It is the raw material lenders use to decide...

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How to Fix Errors on Your Credit Report and Protect Your Credit History
Credit History Management

How to Fix Errors on Your Credit Report and Protect Your Credit History

Your credit history is a record of how you’ve borrowed money and repaid it. It affects whether you can get a loan, a credit card, or even an...

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Why Your 40s Are a Smart Time to Lower Credit Card Balances
40s

Why Your 40s Are a Smart Time to Lower Credit Card Balances

Your 40s often come with a full plate. You may still be paying a mortgage, helping kids with school costs, covering everyday bills, and trying to...

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When Your Work Hours Get Cut: How an Income Shock Can Hurt Your Credit
Income Shock

When Your Work Hours Get Cut: How an Income Shock Can Hurt Your Credit

A sudden cut in hours or overtime can feel like a small change at first. But when pay drops by a few hundred dollars a month, it becomes an income...

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Popular Articles

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Video

Consumer Credit Tips

Each video breaks down one practical way to get out from under debt and stay there — straightforward advice on credit, budgeting, and the habits that keep you from getting overextended again.

FAQ

Frequently Asked Questions

A collection account is one of the most damaging items that can appear on your credit report. It causes a severe drop in your score and remains on your report for seven years from the date of the original delinquency that led to the collection.

The hardship arrangement may be canceled immediately, and the account could revert to its original terms, with accrued fees and penalties added. Communication with your creditor is critical if you anticipate missing a payment.

This is when you return the car to the lender because you can no longer make payments. It severely damages your credit score and does not relieve you of the debt; you will still owe the difference between the loan balance and what the car sells for at auction.

This is a letter you can send to a collector demanding they prove you legally owe the debt and that they have the right to collect it. They must cease collection efforts until they provide this validation. This is a powerful tool to ensure the debt is legitimate.

The minimum payment is the smallest amount you can pay to keep the account in good standing. While it helps avoid late fees, paying only the minimum extends the repayment period for decades and drastically increases the total interest paid, perpetuating debt.