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Is debt consolidation good for credit score?

Date: Mon, 08/14/2006 - 11:40

Submitted by anonymous
on Mon, 08/14/2006 - 11:40

Posts: 202330 Credits: [Donate]

Total Replies: 3


Ok guys, I have some debt but not alot(in my eyes atleast). I would say I have about $2500 in debt from a credit card, store card, cell phone bill, old checking account. I'm making a little more now and think I can pay of some of thses debts but was wondering if debt consildation actually help your credit score seeing the accounts have been delinquent for so long(a couple years). I have a cehcking account fraud on my credit report for about $6000 which I refuse to pay cause It wasnt my charge and the back dont want to take it off. All info would be appreciated..


It would be the best deal if you can make the payments on your own. After you have paid off the accounts, the creditors will update your accounts with the bureaus and your credit scores will rise higher.

Consolidation program is for those who are unable to pay on their own. They find the interest rates quite higher and cannot afford the late payment fees and other charges. If you tend to use some professional help, consolidation program reduces the interest rates and wipes off the extra charges. This will be beneficial if you enroll in the program.

Consolidation appears in the credit file as long as you are enrolled in the program. Those viewing your credit will see that you used professional help in paying off your debts. You will have to negotiate with the companies for the interest rates in your future credit. This program does not have any negative impact in the long run, but since it's a professional help, it will make its own consequences. Some find this program helpful in their situation.


lrhall41

Submitted by Christina on Mon, 08/14/2006 - 12:12

( Posts: 438 | Credits: )


In most cases, people don't have problems in getting new credit while being in the plan. While most of the creditors appreciate your responsibility in paying off the debts, there are a few who always sound stiff with the consumers. It's their problem, not yours. A majority of the companies will offer new credit if you keep a good payment history and a worthy credit profile. Consolidation helps in paying off the debts. Most people believe, it's not a hurting move.


lrhall41

Submitted by Christina on Mon, 08/14/2006 - 14:56

( Posts: 438 | Credits: )