How does Debt Consolidation affect your credit reports?
Date: Tue, 06/20/2006 - 09:28
Anyway, my question is.....how will getting into this type of program affect my credit report/rating? We would like to sell our house and buy something else, but are all of the late payments that are probably already reported to the credit bureaus along with being in a consolidation program going to ruin our chances of purchasing another house anytime soon? My husband's credit is good. This mess is from credit that I took out individually.
Thanks for any info/advice.
Tiffany
I don't think there are any consequences for going with consolid
I don't think there are any consequences for going with consolidation. If your accounts are reported to collection agencies before you start to pay the original creditors, then that will affect your CR BIG time!
Thanks for letting me know. I guess I better get my bum in gear
Thanks for letting me know. I guess I better get my bum in gear, as my accts. have not been turned over yet.
Tiffany
Hi Tiffany Take a consolidation program with complete piece
Hi Tiffany
Take a consolidation program with complete piece of mind. It won't be shown negatively in your credit file. The most important thing that counts towards your credit is regular payments. Since you will be using a consolidation program to pay off your past debts, it will appear in your file as long as you are enrolled in the program. The program will be removed from your file once it is complete. The lenders viewing your credit in the future will not know how the accounts were paid. However, if they peep into your file during the program, they will come to know about using it. They may assume that you were having financial problems in paying off your debts and have taken a consolidation program. This will assure them your responsibility of paying your past debt accounts and not posing any risk to their credit offered.
