Hello I am currently in a Debt Management Program due to moving and the bills were just way too high and the credit card companies would not work with me. I plan on purchasing the house that I am currently renting in 7 months. I am interested in a USDA loan due to having no down payment and I live in a rural county in North Carolina. I have spoke to multiple Mortgage Lenders and they said I wouldn't be approved due to being on a DMP. I would like to know if that is true? and if it is, is there any way of going off the DMP but still making the payments that were agreed upon myself because I can't afford much more. Thank you for all the helpful information. :D
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.