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Paying down debt in uncertain financial times
I have roughly 15K in credit card debt.

I am married and employed. I earn roughly 62K/yr and the wife makes roughly 25K/yr.

We have a mortgage which is roughly 770/mo. We are upside down on the house by about 7K.

We have 2 car payments as well, @ $250 amd $320/mo.

Our cards are nearly maxed out as of this month. My wife hasn't been working much due to illness and tax season hit us hard so we wound up maxing out cards to pay for food while income was used to keep bills paid. The rest of this month isn't looking promising either.

We want to pay off debt, but we have set expenses coming up like a work trip for me and another fixed and other fixed and unavoidable expenses to the tune of about $680. It is clear that we won't be able to save up enough money in time. My trip will be reimbursed to me, but I don't have room on a credit card right now.

My question is, is it better to try to aim for another credit card and try to do a zero interest balance transfer to reduce interest payments and to help pay for the work trip and other expenses, or should I try to go for a loan service like Prosper and pay off all credit cards, close most of them, and keep a couple open for work trips and the other expenses?

One additional factor is that I am not totally secure in my job anymore. My company has laid off a lot of people and I don't know if the axe will fall on me soon.

Any advice would be appreciated.

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The best advice for your situation is to look up "Dave Ramesey" Finacial Peace University. The free info he teaches on debt is priceless and will help you to get ahead... God Bless....

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I think a balance transfer, if you can get 0% interest, is a good idea.  However, don't close any cards you pay off because that will hurt your credit score.  Put them in a safe place and use them once a year to keep them alive.  You may want to visit and read about debt repayment, they may have some ideas and advice that will work for you.  I would also suggest you update yoru resume and go ahead and start looking for a new job, it's easier to get hired when you're already employed (don't ask me why).  If there is any way your wife can find a way to generate extra income from home or whatever, that would be great as well.  Best of luck!

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Drastic times...

Helpful to 1 out of 2 people

Call for drastic measures... It may be time to start selling things that are not needed, having 2 cars is effectively killing you slowly, the payment is the first punch and the insurance is the second... Selling one of the cars (and extracting what ever equity you have) will free up monthly income for attacking debt / staying afloat.

Being a one car family is hard, but the situation you just described may leave you homeless if you do not rectify quickly. Having a home forclose makes it very very tough to rent, and rent prices are higher than your mortgage. Furthermore, cancel any monthly services that you can, Cable/Internet/Netflix/Cell Phones/Etc.

If you have a 401k through your employeer, take a loan against it, do what you can to catch your breath, then Regroup and Budget. Taking on additional debt is NOT the answer for this scenario and any credit you can get right now is likely going to have insane APR's that will only agrevate the problem.

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