credit score
Date: Wed, 08/22/2012 - 10:36
how will my credit score be affected by debt consolidation?
Consolidation or a debt management plan? DMPs will lower your
Consolidation or a debt management plan?
DMPs will lower your score, usually significantly.
Consolidation is simply obtaining a loan to pay off your other debt. That will affect your credit but it's difficult to ascertain exactly how, without knowing the specifics of your situation.
A debt consolidation LOAN is usually GREAT for your credit becau
A debt consolidation LOAN is usually GREAT for your credit because it gives you a lump sum to pay off delinquent accounts. You also get the added bonus of a diversified credit report through having that unsecured loan.
A debt management plan will tank your credit... the way a DMP operates is specifically having you not pay your creditors when the bill is due.
