Debt management companies
Date: Mon, 01/03/2011 - 14:00
I want to sign up with a company for debt consolidation. They require a power of attorney to speak on my behalf to my creditors. Is this normal and does this give them power over all of my finances or just this little segment I authorize?
Unless you give the authority to the debt management company to
Unless you give the authority to the debt management company to speak on your behalf, your creditors will not be ready to deal with them. Most of the debt management companies will request you to sign a power of attorney so that they can speak to your creditors and negotiate with them regarding your debts.
Quote:Is this normal and does this give them power over all of m
Quote:
Is this normal and does this give them power over all of my finances or just this little segment I authorize? |
No, they don't get an access to everything.
With such programs, you work with a consultant who analyzes your financial situation and negotiates with your creditors on your behalf.
It's just that you send in your payments to them and they in turn pay it to your creditors. You're supposed to recieve statements from your creditors in this regard. These statements will act as their confirmation of the payment receipt.
http://www.debtconsolidationcare.com/program.html
