Debt Management Program and Payments

What does your contract with them say in regards to late payments? Did you call and keep them advised that your payment was going to be late? Why don't you call them and ask them what the problem could be, that's what I would do.

ladybug

Okay, thanks for your help!

I think part of it may be is that one of my creditors, an IPDL, turned me over to collections, and I just sent the dmp company the validation letter, showing that the 3rd party collector owned the debt. So, maybe they are waiting to dispurse the funds until after they get that all sorted?

were you aware that your first monthly payment is the companies fee and that you will not be making a payment this month to your creditors which is going to not only cost you additional fees but your interest rates are now through the roof? Read the fine print and I bet you will see that your CCCS company or dmp ripped you off.

Guest, do you work for a collection agency or a creditor? I bet you do. Forgive me if I'm wrong, but if you do work for those kinda companies, you're a coward, just like the rest of them. It's typical really. You're not even brave enough to use a name other than "Guest". Hell, you didn't even choose a fake name. Collection agency agents won't give you their name, number, etc. When they call, it usually says "unavailable". It really pisses me off. Quit being cowards. If you don't like your jobs, find something else to do.

Also if you are in a dmp, I think you may have joined in the first place because your interest rates are ALREADY through the roof and you are trying to lower them?

Why are you trying to ruin something good here-people helping people?

Guest...that statement isn't always true...I am in a dmp and my full first payment went to my debts.I get a quarterly statement that shows all payments made and the balance now owed.

Debtfree08...check your date to pay....I pay my DMP on the 16th of the month and they pay out on the first friday following that date. Whenever I have a question (and I have had many) I email my counsilor and she usually gets back to me by the next day.

Well, my date to pay is the 5th of the month. So, it is already the 16th. I think that they dispurse the funds as soon as I send them the payment. I just hope that the cashier's check didn't get lost in the mail. :(

So, my payment has not yet been recieved to my dmp!! I sent almost $600 in almost 2 weeks ago!!

Did you send it via a trackable method like next day or certified?

No, I didn't. The first and only time I haven't done it. Guess I learned my lesson.

Was it a money order or cashier's check? Do you still have the reciept?

It was a cashier's check. I called the bank, and I have the reciept. The bank says that the cashier's check hasn't been cashed, but I have to wait 90 days before putting stop payment on it.

I think what the guest above was trying to convey was the fact that most dmp's are scandalous. First of all, the IRS is revoking 501 3-c's from a number of companies and has already. The IRS made a statement stating that they will no longer issue 501 3-c's since the "non-profit" status enables these types of companies to hide behind the tax exemption when in reality, they are very much for profit, funded by the creditors themselves and are nothing short of a collection agency with a non-profit tax exemption.

Most CCCS companies but not all, take your first payment as their fee. Therefore, if you were current with interest rates below 29.99%, and are unaware that your first payment is a fee, your interest rates will be effected.

In my opinion, CCCS is is a bill paying service. You can achieve the same results by simply using bill pay with your bank online. Creditors such as Citi, MBNA, Cap1, all of the major banks either do not participate in interest rate reduction programs (CCCS) or they will only offer rates equal to or above 15%. The monthly minimums also with CCCS are usually higher than on your own.

CCCS also reports similar to a bk13 so the time you are with a CCCS, your credit is ruined.

I do not think the above poster aka guest was trying to ruin anything for anyone but as we all know or should know that the industry has a terrible name and it is INDEED well deserved.

Take it from me, I have been in the industry for close to 10 years and witnessed companies blatantly stealing from and misleading clients enrolled in this type of program.

Word to the wise, non-profit means absolutely nothing. The only reason for the non-profit status is so that the creditors can use the loss in interest when extending you a lower rate as a tax write off. The amount a creditor is able to write off which then turns into profits, portion if which is then paid to the "non-profit" org. and it is called the "fair share".

You pay the company, the creditors do also. They are making a killing together having people think that they are working for you. Its a sham in my opinion but again, like debt settlement, for some, it is a viable option. Just make sure that you are absolutely sure you are benefiting. Any doubts, ask for a second opinion.

Hello Guest, I hear what you're saying at CCCS, etc. Here's my question. I thought (correct me if I'm wrong) that there is a law now that says you have to use consumer credit counseling before you can file for bankruptcy.

I believe I read in a post from Goudah that they had to have some kind of credit/financial counseling before being able to file BK.

So, does being in this program hurt my credit? And, also my payment is apparently lost in the mail. Will I be dropped from the program now? And, these IPDL's are calling again, because they didn't get their payment this month.