Help please

It seems like you are confusing debt management with debt settlement. Since you mentioned monthly fee of 50 dollars you probably mean debt management. Here is the difference so you don't confuse the two programs because they are both very different.

Debt Management Plan or dmp

This plan is administered by a consumer credit counseling agency.Credit counseling is for people who are not overextended and thus can afford their minimum payments and just need one payment with a lower interest rate. Credit Counseling agencies will be able to negotiate with all creditors to accept a lower interest rate " usually around 6%-10% ", waive late fees and over limit fees and spread your payments out over 5 to 7 years. You will repay 100% of your current balance with a payment that typically runs about 3% to 4% of your total debt. If you have the ability to repay the full debt you borrowed you should do a Debt Management Plan. This program doesn`t hurt your fico score but will show on your credit report you are in a program to keep you from getting more credit until you complete the program. Once you complete the program it comes off your report as iff you were never in the program.

Debt Settlement

Debt Settlement is a hardship program for people who can`t afford the payments for a debt management plan, can't continue paying minimum payments, can't borrow to pay off debts and don't want to file bankruptcy. If and only if you are overextended or if your debt are already severely delinquent should you consider debt settlement.It will get you a monthly payment around half of what you would pay in a DMP and you will be out of debt usually around 24-36 months. This program does hurt your fico score because creditors won`t settlement until the account is 120 days + past due. However if you are a good candidate for this program your bills are most likely past due anyways or about to be so the fact it hurts your score would be irrelevant. This program is designed to get you out of debt fast so you will be in a prime position to start reestablishing your credit and avoid bankruptcy.


Most Credit Counseling companies are going to charge 49-59 dollars a month for their service. That pretty much the going rate for your reputable companies. They may be non-profit but they still have bills to pay. Unfortunately Dell doesn`t work with Debt Management Plans. However the pay pal account you can add in a dmp. I hope this helps

Yes I screwed up in my original post when I said settlement instead of management/consolidation. Is this company here a good place to use, DCC? So 50 bucks is the going rate per month to do DC yes? I can't believe Dell would rather people go bankrupt then pay them off at a lower rate of interest.

They don't have a bad reputation. Here is the link to the BBB report on them.
http://search.newyork.bbb.org/reports.aspx?pid=44&page=1&id=41469

It never hurts to shop around and compare. There are other really good companies that are members of the BBB with great track records like Debt Wave credit counseling, Consumer Credit Management Services, Inc. ,CareOne Credit Counseling. I am not endorsing these companies but this should help point you in the right direction. Which ever company you are considering check them out with the BBB and make sure they have a good track record.

Thanks Mobile , are you sure the link to the bbb is the same as this company as this company ends in the word care while the one your link sends me to is corp. Sorry for the stupid question because if that really is the one their main office is right down the road from where I work. And here is their website below..

www.debtcounselingcorp.com

Maybe I am not understanding something or they own both this and that website and name?