Does this program make monthly payments on the credit cards until they are paid off or is this the program that collects the payments into an account and then negotiates with the creditors after a certain amount has been saved? I have gone through that program before and it was a nightmare between the companies harassing me despite accepting the fact that I was in the program, the destruction of what credit rating I had as well as being taken to court for payment after the company had accepted the plan. I am very leery to go through a credit consolidation after that experience, even though I know that I need help managing my bills. I would prefer to do the monthly program so that I can see the bills being paid off and that I can maintain some kind of credit rating.
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.