Ask Experts Questions for FREE Help !
Ask
    rflores1959's Avatar
    rflores1959 Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Feb 20, 2008, 03:46 PM
    Credit Repair companies or Credit Counseling companies
    My question is... Can either of these help?

    I am considering using a company like Consumer Credit Counseling which claims to contact your accounts and arrange lower interest and lower payments and then lump all of your debt into one monthly payment.

    The lower payment would be very helpful at this point, but someone told me that using a company like this will actually hurt my credit worse.

    Can anyone offer some direction?
    progunr's Avatar
    progunr Posts: 1,971, Reputation: 288
    Ultra Member
    		  
    #2

    Feb 20, 2008, 04:29 PM
    It will not help your credit in the beginning.
    Some of your creditors may not agree to be placed in the hands of the agency.
    There is no requirement that they work with anyone, and they may or may not agree to lower your balances or interest rates.
    I know that every company I have worked for, has NOT accepted these type of plans or offers. I have heard many horror stories about the payments being made to the agency but not being distributed to the proper creditors in the proper amounts and it ends up being a bigger mess than it was to begin with.
    I am sure that some people have been helped, I just have not talked to any of them.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Companies that use equifax to determine credit [ 1 Answers ]

Which companies use Equifax?

Are there laws credit card companies must follow... [ 1 Answers ]

Regarding an account going to collections? My Ex-fiance owed the total bill on my Sears account. He was supposed to notify me if he couldn't make the payments so that I could. Needless to say, he stopped making them or wasn't even covering any late payment fees and I was never notified of what...

Credit Card companies seizing a house [ 5 Answers ]

My friend and I were arguing as to whether c.c comps can seize your home for unpaid debts. Even if your house is worth more than the debt. My friend used an example of a home worth $300,000 and a cc debt of $4000. I think that because your mortgage is a secured loan by the bank the cc comp wouldn't...

Best way to negotiate rates w/ credit card companies? [ 4 Answers ]

A family member is loaning me $20K to pay off part of my $33K credit card debt. The loan will enable me to pay off the balances in full on two of the highest-interest rate cards, and part of the next highest-rate card. I'd love to just call the bastards up & close the accounts as soon as the...

View more questions Search