US economic crisis: Readers' experiences

With the US economy experiencing one of its rockiest spells in years, many American homeowners and workers are fearful of what the future holds for them.

The BBC News website spoke to a number of readers affected by the sub-prime mortgage crisis last November. Here we revisit some of them to see how they are coping with the ever-increasing uncertainty in their once-thriving economy.

MELANIE KELLETT, GLOCESTER, RHODE ISLAND

In November, Melanie wrote:
We have been badly affected, both as homeowners and people whose main source of income is directly tied to the housing market - we own a vinyl siding company. Since people aren't buying, builders aren't building, and we haven't seen steady work in a year-and-a-half. We can't afford the payments on our home, but we can't sell because houses aren't selling. We're terrified and struggling to survive.

It's still a pretty tough time.

There were a few months when we thought we would lose our home because there was no work and no wages coming in.

Things are still pretty bad here. It is a very scary time for us Melanie Kellett Your say: Are you affected?

The construction industry is still very slow. Although it has seemed to pick up slightly only this month, it is still nowhere near what it was three years ago.

Our tax returns have helped us get through the winter months, otherwise we probably would have lost the house.

I gave up any thoughts of going back to my job as a real estate agent because house prices continue dropping, as do the sales.

So I got a part-time job in December as an office manager for a construction firm, but won't expect an increase in hours until the summer, as the construction industry is still so slow.

My pay just barely covers groceries and oil to heat the house and with added daycare costs for my daughter, it's all pretty tight.

So all in all things are still pretty bad here. It is a very scary time for us.

CINDY VITTETOE, KANSAS CITY, MISSOURI

In November, Cindy wrote:
We have an adjustable rate mortgage from one of the sub-prime lenders. We had a terrible financial year last year and fell behind in paying off our credit cards. As a result our credit is even worse this year and now as our mortgage goes up, we can't refinance due to horrible credit. This is all despite the fact that I am finally making more money and am now able to pay higher mortgage payments. It is a terrible place to be.

I applied for a modification on my mortgage back in December. I am still waiting to hear from my mortgage company.

I call them about every two weeks and they just keep telling me that I haven't been assigned to anyone yet.

Our government says it is going to send us stimulus money, but I think most people will need that to pay off debt or to simply save it Cindy Vittetoe

In the meantime I am trying to stay positive.

I am still two months behind on my repayments and I don't want to get any further behind.

Despite this, I am making the most money I ever have.

However, since I have spent the last two years robbing Peter to pay Paul, in terms of trying to handle all my debts, it sure doesn't feel like I am making more.

I am a sales consultant and drive for a living. Gas prices are really soaring and that isn't helping, even though my company pays per mile.

Our government says it is going to send us some stimulus money, but I think most people will need that to pay off debt or to simply save it.

I don't think many will be able to afford to spend it.

FIONA TORRES, LINCOLNTON, NORTH CAROLINA

In November, Fiona wrote:
I have been affected as I'm on an adjustable rate mortgage (ARM) that has just jumped $196 per month, the first increase I've taken. It's due to go up again in March. I found out that the mortgage company I applied to a couple of years ago inflated the resale value of my house and I'm stuck and unable to refinance. The only option is probably to sell and start again.

My situation has stayed much the same.

I am still behind on my mortgage.

However my rate was reduced to its original level and the interest level was frozen for five years, as I overpay slightly each month.

The cost of living has now started to increase at an alarming rate. The weak dollar and high gas prices are only part of the problem.

I don't think the government's stimulus package will have the hoped-for impact.

I, for one, will use the money towards paying off my debts.

Reducing income taxes on individuals and businesses is a certain way to stimulate the economy in a more positive fashion.