stop debt management

If you leave the Debt Management Program, your credit cards will go right back to your original interest rate.

I would contact the debt management company and tell them in writing that you have decided to take back control of your finances. Then either pay the debts as agreed, if you can afford to, or consider debt settlement. You can try to do settle the debt yourself, but keep in mind they often won't settle unless you can come up with a payment in full. Here are some numbers to look at when deciding what plan is best for you. I based these numbers on a previous post from a person who had $31,000 in debt.


Here are the numbers based on $31,000 in debt:

With a conventional payment, paying the minimum each month on 31,000 in debt, you would pay aproximately $77,500 over 15 to 18 years.

With a debt management/debt counceling plan you would pay $46,500 in 5 -7 years

With a debt settlement plan, you would pay $17,980 on $31,000 in debt, in anywhere between 18 months to 40 months. Your payments with a 40 month plan would be aproximately $450. per month. Your payments with an 18 month plan would be $999. per month. At the end of the 18 or 40 month plan, you would have saved $13,020 and be debt free.

There are good debt settlement companies that do really help people. One of the things to consider is if the debt settlement company has licensed attorneys who review and oversee your case, to determine if debt settlement is right for you. Some people are better off declaring bankruptcy, but that should be your last resort because it will stay on your credit for 10 years and you may still have to pay some of your debts. Bankruptcy can hurt your chances when your applying for credit, a job or a lease for even more than 10 years.

if i go back and take care of credit cards myself ..will they put me in a risk category
and shoot all my credit cards(i had 4) to 29%. i ve only been on debt management 2 months.
dave

I'm not sure about that. They may. You should contact the debt managment company and ask them. However, if you are going to try to settle your debts, it won't matter what they raise your rate to because you will be settling for less then you owe. If you are planning on paying them off without settlement then this may be something to be concerned with...were you late on payments before you joined the debt management program?