What are your thoughts on Consumer Credit Counseling?
Credit Counseling For Credit Reports And Credit Repair Workbook
75% Commission!! Brand New, but Will Convert! A hands on guide to building and keeping excellent credit. No hype or Bs, just tons of little known info and tips from an industry veteran in a workbook format. Includes 3 Excellent bonuses!
I own a home. It’s worth approx $85,000 – I owe that much on it. I have approximately $35,000 in debt. $6,000 is in back taxes. (I only made $18,000 last year?) If I choose to use consumer credit counseling, does anyone know if it really helps? Or is it just a flim-flam operation?
Credit Counseling For Credit Reports And Credit Repair Workbook
75% Commission!! Brand New, but Will Convert! A hands on guide to building and keeping excellent credit. No hype or Bs, just tons of little known info and tips from an industry veteran in a workbook format. Includes 3 Excellent bonuses!
It depends. CCC can be a good thing, but only if you go through an established, professional firm that is recognized by organizations like the Better Business Bureau, your local chamber of commerce, etc.
Genuine CCC firms can help you negotiate a lower all-in-one payment that is then disbursed out to your creditors. That’s where the caution comes in — a lot of the scammers out there set up “payment plans,” take the money, but then never pay out to your creditors.
I would recommend that you start reading websites like PlanetLoan.com and CreditBoards.com. Not only will you find a wealth of informationt that can help you take control of your finances, you’ll be able to connect with people who have been in situations similar to yours, and who can offer invaluable, “been-there” advice. Good luck to you.
I tried it, it was a rip off. They try and talk to your credititors and have them reduce the money owed. ( this is just as bad as bankrunptcy) then you pay one payment to them. They charge you for this service. Since I was in dire need of help., I talked to the creditors myself and they offered to reduce the money owed. I still could not afford it and went to credit counceling. They called my creditors and came back with terrific news! they got the same exact deal as I did. I laughed at them. I told them they did not do any better then I did. They yelled at me and told me I was going to hell because I refused to pay them for the work they did. I told them they told me they would do better. His claim was they did. it was reduced from the origional. It was a rip off.
Hi daisylane,
CCC is really not the way to go, unless you want to have your credit severely affected.
In my business I have personally seen hundreds of peoples credit hashed by CC outfits. The best way is to negotiate with your creditors yourself.
The bottom line is, if you utilize the services of a CCC service, they will negotiate on your behalf. They can have your interest rate lowered, minimum payment reduced, or spread out the terms longer if it’s on a fixed period loan.
However, even though you have negotiated with your creditors, typically they will report you as late. Here’s why; even though you are still paying them something, the amount or terms are not the same when they agreed to extend the credit to you in the beginning. If you can get it in writing that they are willing to the new proposed terms without showing you late, make sure you get it. The documentation will save your bacon in the end.
Also, telling you this as a mortgage lender; you will be hard pressed to refinance or buy a home if you are showing an ongoing relationship with a CCC. This is almost as bad as filing bankruptcy.
It shows the inability to manage your debt load for whatever reason.
Good Luck
~Trey