I'm in deep credit card debt, whats the best way to settle my debt?

First things first: chop up your credit cards.

- Credit card companies only settle debt if you are near or at the point of default. If you are already at this point then you do not need to hire any outside firm to settle your debts. You can make your own offers to settle at 50% (but start the offer at 30%). Get all terms of any settlement deal you reach with debt collectors IN WRITING BEFORE you give them your money. See Suze Orman's advise on this: http://www.youtube.com/watch?v=jS43XFa3KGU If you are not behind in your credit cards then they won't settle for less. Stay away from any "debt consolidation" company that promises to cut your debt and payments in half through debt settlement....This is a risky tactic of deliberately ceasing all payments to creditors and forcing your accounts into default to attempt settlements. You pay a monthly fee to a debt consolidator....this entire fee goes towards building a settlement account and to the consolidator's fees to “settle” your accounts in the future. Your credit card companies will deliberately not be paid so that all the accounts will default/charge-off so that they can attempt settlements at around 50%. If you are current on your accounts, this process will ruin your credit rating for sure. Debt settlement is like a roll off the dice with your finances...You can never predict how your creditors will respond to the deliberate defaulting of your accounts...they might settle at 50%...or they might serve you a summons, take you to court...and if they win, you could be looking at wage garnishment. Many people who sign up with “debt consolidation” firms incorrectly assume that they have the power to force your creditors to accept settlements...they don’t. Your creditors have the right to refuse settlements and take you to court. ======================= The next options are entering into a Debt Management Plan or filing for Chapter 7: Contact your local Red Cross for a referral to the local Consumer Credit Counseling Services (CCCS). They can negotiate reduced interest and payments. They will require you to stop using all credit and to cut up your cards. Your credit report will be updated to "enrolled in debt management." This does not damage your credit, but it may make it difficult to obtain new credit while you are enrolled in their program....so don't use this service if you anticipate applying for a new apartment, car loan or mortgage anytime soon, as you would might be denied while you're enrolled in the CCCS debt management program... While an accredited credit counseling program like CCCS can be good you need to be aware that these programs are funded by the credit card industry and this can create an obvious conflict of interest in the advise they give you CCCS counselors will often tell people to not file for bankruptcy when they really should. If your debt is overwhelming relative to your income/assets and the reduced payments negotiated by CCCS simply will not work, then you should think about filing for Chapter 7 bankruptcy.

do debt consolidation. that is what i did. they will consolodate you payments to a monthly fee that you can afford. have to look at each company to make sure that they cover your state. some only represent certain states. do some research. make sure they are accredited with the BBB and that organizations are better than a company. make sure you sign a contract PRIOR to your first payment. as i know some people that got ripped off for incorrect contracts and were overpaying. good luck 5 years will help. and you won't be able to use your credit cards any longer.

You created the debt. Suck it up, be a man, and pay it off. I hate it when people try to weasel out of their responsibilities. And try to learn something so you don't make the same mistakes again. Good luck!

Don't use credit cards. What did you buy to get that far in debt? Take those things back to get a refund.

your best bet is to file for bankruptcy, a lot of people are doing that nowadays.

move to Canada