Internet's first get-out-of-debt community - 134,000 members

I enrolled in a dmp last February. I have free housing at present so I have been paying almost all of my paycheck to the dmp. (I owe about $9000) At the current rate I will be in this plan for 2 more years. I need to move out into myu own place, but can't afford it. Is debt settlement an option for me? Or would I just have to walk away from my debts. I can get some low interest loan from a relative. The dmp company (CCCS) have not been very helpful in lowering my interest rates. Most I am paying 15.99%. One is at 23.99? They are very hard to reach and when I do they say they are overwhelmed with people being foreclosed on.
I have no assets except a car. Can somebody advise me? Is it possible for me to do it myself even tho i'm in this program? I don't know what to do.

Posted: Wed Oct 17, 2007 7:13 am Subject:

Bob, please click on the link at the right of the page for a free consultation. they will be able to guide you.

Posted: Wed Oct 17, 2007 8:27 am Subject:

Bob- look at your contract with the dmp and see what it says about dropping them. I am not sure if you can just drop them or not-haven't used one myself.

Some creditors will work with you, such as cc companies to lower or drop your interest. They have what is called hardship programs, where they will drop or lower your interest based on the balance,payments, etc. I have had several drop my interest completely when I told them I wanted to pay them off, but couldn't because of the interest. I commited to a payment plan-very easy payments for a year and paid them off.

If you have a relative hthat will loan you money, you may think of this if the DMP and cc companies won't work with you, but check with the DMP and see what they can do for you- they are working for you..Good luck..Karen.

Guest · Posted: Thu Oct 18, 2007 4:32 am Subject:

The counselor that is assigned to my case tells me she is overwhelmed with people being foreclosed on, that they need to hire more people, 3 people handling 3000 clients, etc. I have one account where I am still paying 23.9% interest and the debt is going up instead of down because of that. I call and can't get through, they don't return calls, and they don't respond to email. Very frustrating and discouraging.
I re-read the contract and it says I can get out of it by giving notice in writing.
Does anyone know if CCCS can negotiate a settlement with one of more companies on my behalf should I come into some money. EX: Income Tax Return!

Guest · Posted: Thu Oct 18, 2007 9:47 am Subject:

Not being able to get through when you have questions is frustrating, not to mention poor customer service. Unfortunately, CCCS work more on lowering your interest on all of your accounts than settling. You end up still paying back the total debt, plus interest, plus fees. If you multiply the monthly payment by the length of the program, you will probably find that you are paying a lot more, and it may have been more economical paying off the debt yourself. I recommend contacting a debt settlement company and explaining your situation. Debt settlement does exactly what you want CCCS to do—settle your debts, and you’d probably save money. Make sure you talk to several debt settlement companies and check them out with the Better Business Bureau and the International Association of Professional Debt Arbitrators. The higher the rating and membership level, the more knowledgeable, qualified and ethical the company is.

Posted: Thu Oct 18, 2007 9:53 am Subject:

I forgot to log in before I posted--the above is from me.

ACCCounselor · Posted: Fri Oct 19, 2007 8:09 am Subject: False Hope

People who don't have a clue what they are talking about when speaking about dmp's, should not give advice about debt management programs or credit counseling! There is so much false and misleading information here, I would not trust ANY info given.
Get advice from professionals who DO know what they are talking about; DO RESEARCH (I know it takes a bit of work, but you are talking about your finances & the future thereof, do the work, it's worth it) Make sure you get several different professional resources to answer your questions. The advice given in the preceeding blogs is dangerous, especially if you actually follow it! Be Aware & Be careful, you never know who's at the other end of that blog!;}

Posted: Fri Oct 19, 2007 8:14 am Subject:

ACC-We can appreciate your enthusiasm in wanting to share info about dmp's, but please refrain from judgement of previous posts or negative comments. People who post here do not claim to be professionals.

Thank you

Posted: Fri Oct 19, 2007 11:01 am Subject:

People who have been through a debt management Program are more than likely qualified to comment on their experiences and offer advice, suggestions and recommendations to anyone asking for it. There are a lot of options available, and all avenues should be explored to not only find the right program but also the right organization, which I believe was mentioned. “Do your research” is excellent advice. Many may recommend debt management rather than debt settlement, especially people who work for a debt management service. My guess is that this person actually works for a CCCS, and because of my experience, I know that these companies were actually set up by the credit card companies. Of course they don’t want you to talk a debt settlement company. They want you to talk to one of their CCCS branches so that they can collect as much interest and fees as possible. Believe me, CCCS companies do not have your best interests in mind and will do everything they can to dissuade you from talking to someone else. Do your research, indeed.

Posted: Tue Oct 23, 2007 1:27 pm Subject:

I appreciate all the comments. I found out last week that my counselor has left her job. Don't think she was suited for it. Still not sure what I should do. At times it is overwhelming, and I thought a dmp was the right answer. Hm-m-m-m.

*Name:
*Email:
*Phone:
*Zip:
*Debt

	* denotes required field

Internet's first get-out-of-debt community - 134,000 members

Debt Management Plan Not Working Need Advise

Members Area

Free Debt Counseling

Ask the community

Featured Discussions

Featured Articles

Question of the Month

Also See

Recent Forum Discussions

Recent Blog Post