question on negotiations

i live in massachusettes and currently owe 20k in credit cards,20k in automobile notes,and 8 k in personal loans,,the only unsecured is the c/c debt, i have cut up the cards but due to the high amount,and since i was over 30 days late (actually i was 45 days late} they upped the int rate to over 20 %,because of the high rate and balance making any headway is impossible to do,,do i have any options with negotiations with the companys, or do i have to either suck it up or file for bankruptcy,i would REALLY like to just negotiate an amount and resolve it,please i dont even know how to begin!!!!!!! HHHHHHEEEEEEELLLLLLPPPPPP

i don't know anything legal but i am in the same boat. 2 years ago i quit paying on a credit card because i fell behind 2 notes and could never catch back up again. my balance was $14,000. now 2 years later after phone calls and lots of letters from them they just sent a letter to settle for $400 . I don't understand how they can do this, i guess its real, i keep wondering if maybe they gonna sue me, but it never happened yet??

[bigun]

I think you'll find that you must be over 90 days late before a cc company will negoiate a reduced payoff. They want to be certain your credit is good and trashed. What you may do is call the companies and ask about any hardship programs. Some {MBNA for example} will investigate and may lower your rates and/or minimum payment for up to a year to let you make some headway. If you're current and still able to make payments, I'd try that way first.

If that fails, I'd say p### on 'em. See a lawyer about filing for bk. I wouldn't try and negoiate a settlement because of potential tax implications. 20% on $20K is just about impossible. Try and wipe it all out.