DMPs (Debt Management Programs) - Mothering Forums

Forum Jump: 
 
Thread Tools
Old 02-01-2005, 01:24 AM - Thread Starter
 
heket's Avatar
 
Join Date: Nov 2003
Location: Ruling my own Library
Posts: 2,698
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Anyone enrolled in one or successfully completed a program? Did it help? Would you recommend it as an option?
heket is offline  
Sponsored Links
Advertisement
 
Old 02-01-2005, 01:27 AM
 
shelbean91's Avatar
 
Join Date: May 2002
Location: Mesa, AZ
Posts: 9,290
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
There are good ones and bad ones. We were on one for 2 (i think) years and it was great. Once we were off, it didn't affect our credit.

I would only use it if you really have no other options.

Michelle -mom to Katlyn 4/00 , Jake 3/02, and Seth 5/04
shelbean91 is offline  
Old 02-01-2005, 07:33 AM
A&A
 
A&A's Avatar
 
Join Date: Apr 2004
Posts: 16,186
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 8 Post(s)
Are you talking about Consumer Credit Counseling and such?

A couple of things to keep in mind:

These people take your money, and then supposedly pay your creditors. However, if they are late with those payments, or don't make those payments at all, it affects YOU and still looks bad on YOU.

Also, it negatively affects your credit rating to have gone through one of these programs. Just something else to think about if you don't absolutely need the help.

Also some credit card companies may revoke your account if you are on one of these programs (they don't want you getting yourself further in debt.)

"Our task is not to see the future, but to enable it."
A&A is offline  
Old 02-01-2005, 10:47 PM
 
brigmaman's Avatar
 
Join Date: Oct 2004
Location: where the wild things are
Posts: 698
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
I'm currently enrolled with a debt management company. I've completed 2 of my 5 years this month. I started with approx. $17,000 in consumer debt. I'm so excited that I've gotten that down to under $10. You can check out companies on the Better Business Bureau website. With this one, you get a statement each month and you can see your money going directly to the credit card companies because you also still get your statements from them. I've never had them make a late payment to any of my creditors. If they did, I suppose it wouldn't be as bad as me making late payments every month, right? I'm also not very worried about it affecting my credit, as I have a checking account, student loans and a mortgage that I pay each month.
For me, it's been great so far. I told myself I'd be "debt free in 03" and that's when I started. It feels great so far. It's also refreshing not to use credit cards. If we can't pay cash, we don't really need it. Though in an emergency, I wouldn't have a c/c- I'd have to use dh's.
brigmaman is offline  
Old 02-02-2005, 04:08 AM - Thread Starter
 
heket's Avatar
 
Join Date: Nov 2003
Location: Ruling my own Library
Posts: 2,698
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
I'm currently enrolled in one as well. I just posted to see if others were and what they thought of their programs. Ours sounds a lot like brigmaman's -- I have the ability to check the program for the payments posted as well as checking the individual statements from each creditor. Any payments not made so far have been our own doing... :

I'm hoping that this year at least one of the creditors will be done with. For now, we're just plugging away at making payments and trying to catch up with the one late one we have. I know it'll get better...
heket is offline  
Old 02-02-2005, 11:32 AM
 
mommyoftwo's Avatar
 
Join Date: Apr 2004
Posts: 737
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
My husband went throught one because of college credit card debt. He was paying it off slowly when we started dating. It was amazing. They did not charge anything at all-no fees. They got all of his interest rates lowered and helped him with payment plans and budgeting.
It did not hurt his credit at all! I was surprised actually. We have gone on to get car loans, mortgages, and another credit card. I guess because he actually paid off every cent instead of defaulting.
I was very proud of him. And we learned a very valuable lesson when we got married. Very little credit for us, just a mortgage.
We never had problems with late payments.
mommyoftwo is offline  
Old 02-02-2005, 03:08 PM
 
shelbean91's Avatar
 
Join Date: May 2002
Location: Mesa, AZ
Posts: 9,290
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
It actually helped our credit a bit once we were completely off. On the program, we paid little or no interest, so the balances went down quickly. When we were paying on our own, we were late and high interest made the balances stay the same. Our credit score while on the program was mid-500's (same as when we started), once we were off, it went up to mid 600's almost right away- still not the best, but quite an increase.

Michelle -mom to Katlyn 4/00 , Jake 3/02, and Seth 5/04
shelbean91 is offline  
Old 02-04-2005, 01:12 PM
 
Pfeiff99's Avatar
 
Join Date: Jul 2004
Location: Massachusetts
Posts: 123
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Would those of you who had good experiences mind sharing the name of the company? DH and I are trying to decide if this is an option for us, and I'd love to be able to look into actual companies.
Pfeiff99 is offline  
Old 02-04-2005, 01:15 PM
 
brigmaman's Avatar
 
Join Date: Oct 2004
Location: where the wild things are
Posts: 698
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
In Charge Debt Solutions is mine- formerly known as Profina.
brigmaman is offline  
Old 02-04-2005, 01:23 PM
 
Pfeiff99's Avatar
 
Join Date: Jul 2004
Location: Massachusetts
Posts: 123
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Thanks so much!
Pfeiff99 is offline  
Old 02-05-2005, 06:43 PM - Thread Starter
 
heket's Avatar
 
Join Date: Nov 2003
Location: Ruling my own Library
Posts: 2,698
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
We're using Care One Credit www.careonecredit.com
heket is offline  
 
User Tag List

Thread Tools


Forum Jump: 

Posting Rules  
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are Off