Asked by nnn

Feeling overwhelmed with monthly bills, Lin got a second job to help pay her debt but has had difficulty writing a budget and still falls short each month. She currently rents her home, and she has credit card bills, student loans, and a car payment.

What step should Lin take next?

Lin should take out a personal loan in order to pay her monthly expenses.
Lin should contact an attorney to discuss the possibility of filing for bankruptcy.
Lin should take the means test to see if she qualifies for Chapter 13 bankruptcy.
Lin should contact a credit counselor to create a workable debt management plan.

All Answers 1

Answered by GPT-5 mini AI
Lin should contact a credit counselor to create a workable debt management plan.

Why: a reputable (preferably nonprofit) credit counselor can help Lin build a realistic budget, review her debts, and negotiate with creditors or arrange a debt-management plan. Taking a personal loan could increase her debt and risk, and bankruptcy (or running the Chapter 13 means test/talking to an attorney) is a more drastic step to consider only after exploring counseling and other options.