Unsecured Debt

I foresee a move to the Dominican Republic United States. I have unsecured debt (student loans and credit cards) that I want to pay, but the average income in the Dominican Republic is much lower and I know I would not be able to make payments minimum. Then the debt may be converted or repurchased by a bank or there is something like that?

Do not borrow more money to repay the loan. The only way you get a lower payment if you convert your unsecured debt (credit cards, medical, etc.) in secured debt (car loan, mortgage, etc.). This is often the best way to go.

Your best option is to negotiate with your creditors. There are several options here.

1) If you are concerned about your credit score will hurt you can consider Credit Counseling (CCCS - also known as debt management). This will hurt your credit, but not as badly as others. The problem is that you probably need to contract with nonprofit to help you here and they are generally finded by the creditors themselves (ie, conflict of interest).

2) Chapter 7 Bankruptcy - You want to consult an attorney before considering this.

3) Settlement of debt. You can hire someone to help you here or do it yourself. In general, you must be over $ 7,500 in debt for this option to be effective. Basically here you stop paying your creditors and instead put a small amount each month in a settlement account. As the account grows you are able to pay your creditors at a lower amount to 40-60% of your original balance. However, it will hurt your credit significantly as you do.

4) Just not to pay. You can always just not pay. Your creditors can obtain judgments against you, your bank account levy, etc. This is not the way the more moral or ethical, but the reality is that your creditors could not touch you in the Dominican Republic.

Good luck!

As you leave the country I would contact the lender and explain the situation and make a proposal of what you can afford. When you have a clear idea of what you can pay in your new home, making payments you can afford. Lenders will not be able todo much anyway and it is the responsible thing to do.

Just take a loan to the Dominican Republic, then use that money to repay loans in the United States.

This kind of thing called debt consolidation people are using it all the time to repay loans at high rate credit cards low interest rate loans such as mortgages.

If you really want to pay the debt, you could work at a job in a country that you would repay the debt instead of becoming a beach bum in the Caribbean.