Mom is in a precarious situation. What with paying medical bills and funeral expenses for my Dad, she started using credit cards to keep up. Now she is in a mess. The bank foreclosed on their house, which is when I found out about all of this. She has around $18,000. charged on the credit cards. The payment on the cards is nearly 3/4 of her monthly income. I have tried to get as much help as possible for her, but her gross income is over the limit for most available help. I am doing as much as I am able for her, but with a husband who has Alzheimer's, my funds are limited.
I have seen ads for debt consolidation companies who arrange with the creditors for a payoff, pays off all the debts, then the customer pays the company a single monthly amount which would be lower than what she is paying now with 4 credit card payments. But I don't know how trustworthy these companies are, or if it is just another scam to get money from people who can't afford to lose it.
She can't get a consolidation loan from the bank because of her debt to income ratio. So if anyone has any experience at all in this area please let me know.