How to pay off credit cards enrolled in a debt management?
I've been in a management program debt service local credit counseling for about 8 months. My parents have offered to co-sign a loan to pay off the cards. The bank's loan rate lower interest cards and pay them faster with a lower payment each month. Should I pay the cards directly or go through the counseling service credit? What is best for my credit score?
The Credit Counseling company will probably give you a better price in the long term because they will negotiate a lower rate than they can. So, you are becoming a very large amount of compound interest on every dollar that you owe for each month that amount owed. We will help mom and dad If the interest rate and the conditions are better than they are currently paying the credit cards companies. And if you can pay all your bills that iccluding payment. Remember that the loan officer is to make money on you, that counsel will not always to your advantage.
Cambridge Credit: Debt Management and Credit Scores
