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I know when you are with a DMP, your credit report show "slow pay" under the accounts in the program, I'm just wondering, as things get paid off will my credit score start to improve? I also have a car payment which I've always kept current, will that help?

Posted: Mon Jun 30, 2008 6:39 am Subject: reply

it can't hurt,but with pdl's i thought if they were not licensed or
legal they can't report on your CR.that's part of the reason i
tried langhorne for 3 months this time last year.they said my
FICO score would not be effected.are you going with T&C.
for more than pdl's?

Posted: Mon Jun 30, 2008 6:42 am Subject:

yes I have some credit card debt and a few other debts in there also.

Posted: Mon Jun 30, 2008 6:53 am Subject: reply

all right,once they are paid.it should reflect paid in full,since
you are paying the full balance.it will take a little time how
much i don't know,somebody else should.it shouldn't take as long as settlement.

Posted: Mon Jun 30, 2008 6:11 pm Subject:

While you are in the plan, it mainly depends whether the creditor agreed to re-age the account or not. It is good if they do, because it's not that bad for your score (other than a comment that shows "managed by credit counseling"). Some creditors don't agree to re-age the account, which means they keep reporting it delinquent every month. That is very bad for your score. If they didn't agree to your plan at all, they might chargeoff the account, which is even worse for the credit score.

Either way, when they finally get all paid off, those accounts would report as paid/closed. From there, whatever damage was done to your credit, will start to improve over time.

You probably won't see too much results until 6-12 mos after you've paid all these accounts off. Provided that you keep your credit on track afterwards, you could be in the 650-700's after a year.

Posted: Tue Jul 01, 2008 5:43 am Subject:

The fact that you are on a DMP is not calculated as part of your FICO credit score. However, as DebtCruncher pointed out, other factors (particularly your creditors' willing to work with your CCC) may impact your credit.

Here is MyFICO's "what's not in my credit score" webpage:

www .myfico.com/CreditEducation/WhatsNotInYourScore.aspx

(you'll have to remove the extra space after the www for the link to work... the myfico.com website requires the www)