credit counseling services

Avatar for lovebug902
iVillage Member
Registered: 03-26-2003
credit counseling services
1
Wed, 03-26-2003 - 6:19pm
I'm interested in finding out if anyone has any experience dealing with credit counseling services. I'm thinking of going to one. I have a few thousand dollars in credit card debt but I have student loans to worry about repaying soon and I don't want to feel like I'm killing myself to pay it all off.

If anyone has any experience good or bad I'd love to hear about it. And which companies are worth looking at or avoiding would help a lot as well.

Thanks

lovebug

Avatar for cl_seesill
iVillage Member
Registered: 03-19-2003
Wed, 03-26-2003 - 7:16pm
Hi Lovebug,

People who have been used credit counseling or debt management will all have different experiences and things to say. Some companies are better than others. Services vary by company. Some charge various fees, some have restrictions, some hold your first payment. Also, keep in mind that even if you're in a debt management program, you're still the only one that's ulimately responsible for your account - many people turn it all over to them and just assume they're taken care of and get into further trouble that way. So, in what ever you decide to do, remember to always continously follow up.

I believe that these companies can be very helpful if you are having a hard time with meeting your debt responsibilities or are experiencing a hardship because many companies can work with your creditors to lower minimum payments, lower interest rates/charges, stop late fees and over limit fees, and stop collection actions. So, because of this, I think that it can be something worth checking into while you're getting back on track.

I only suggest that you actually utilize a ccc or debt management service for only as long as you really need to because they can have some negative adverse reporting on your credit report. However, if you're already delinquent, it might not make much different (and as you make payments, might help to improve it, for a while).

Good luck,

Sharon

cl-seesill

Debt Q & A


Debt Consolidation: What's the Deal? http://www.ivillage.com/money/life_stage/deepdebt/articles/0,10509,191957_39350,00.html

Pros/Cons of CCCS - MSN Money article http://moneycentral.msn.com/articles/smartbuy/debt/1336.asp

Questions to Ask a Credit or Debt Counseling Agency http://www.ivillage.com/money/life_stage/deepdebt/articles/0,10509,191957_241291,00.html

Your 3 Worst Debt Consolidation Moves http://moneycentral.msn.com/articles/smartbuy/debt/8077.asp