Getting a mortgage while enrolled in a plan of debt management?
Anyone know of any other loans or lenders which takes into account candidates who are currently enrolled in a plan of debt management (DMP) or Credit Counseling Program (CCCS)? I've been making monthly payments on my DMP for almost a year, but they have several more years to go. I'd really like to buy a house. I like to be a home buyer first time. Does anyone know if this is possible?
In fact, I know someone who was in the same boat. He had a credit score of 560, was approved for FHA loan through a local bank, but had to get a letter from the management company debt, saying it was okay to take on new debt.
Has anyone else used-Balancepro.net credit counseling?
My credit union recommends a program called Balance professional. They will look at their accounts, etc, and make recommendations etc. There is no cost to do this. They also offer debt management, etc. I think the cost of this is $ 35.00 per month. But they will get their interest rates low. I tried to do this myself but my credit card companies refuse to lower their prices. Has anyone used this? I talked to the better business bureau and have not had complaints against him.
Be very careful with these companies. Some people end up paying thousands of dollars for something they can do for themselves. Go to the library or bookstore and get a book on debt repair first. It will teach you how to negotiate effectively with creditors and get interest and lower payments. You have to try to do it yourself with a little self-education. Now, get in your car and go to their library. If you still decide to go through them please me this favor. Google complaint debt negotiation scam or defraud. It will open your eyes. These companies really can not do much more for you can do yourself. One day make it a goal of using credit cards intelligently for Top 800 + scores. Charge a little something like food or gas and pay in full each month. /
Do you have a Management Plan Debt hurt your credit score?
I'm thinking about getting credit counseling and enroll in a plan debt management. But I want to know if it hurts your credit score. It seems that there are so many scams out there now.
Yes, participating in a plan debt management through a credit counseling agency will hurt your credit, though probably not as much as other alternatives. However, a plan of debt management will be slower, cost a great deal more, and not significantly reduce your monthly payments or balances (but interest rates probably be reduced). Usually, you end up paying 100% of what you owe, plus interest, but at a lower rate. If it is a good idea for you will depend largely on the amount of debt you have, your ability to make the monthly payments, and the importance of your credit score is for you (and much more are willing to pay for trying to maintain). Let me give some examples: Borrower # 1 is only $ 5,000 in unsecured debt. A management plan Debt can be a good solution if you can make payments. He completed pay in full $ 5,000 plus interest, plus fees credit counselor, " But credit must not hold as much damage as a company had retained the debt settlement payments of its creditors for months or years, hoping to force agreement. If this borrower, payment of the debt may have only reduced the balance of $ 1,000 – $ 3,000, which is a small consolation to have your score credit in the trash. In addition, fees to the debt settlement company is likely to eat a good portion of those savings. But let us see a different example … Borrower # 2 owes $ 70,000 in unsecured debt. Say the DMP (plan of debt management) is able to reduce your interest rate of 19.9% to only 5%. In 60 months plan, your monthly payment (not including fees for credit counseling) would be $ 1,321. This results in a total of $ 79.260 (consultancy fees of credit) to pay the debt to the reduced interest rate under the DMP. Your credit is damaged while in the program, but perhaps not as significantly as another type of program to reduce debt. But what is the cost? Let's say that another type of debt reduction program is able to resolve their debt to 45% of must, without additional interest that apply. That debt is now $ 70,000 can be removed for just $ 31,500. And if she can manage to pay the $ 1,321 per month while under the DMP, eliminate your debt in 24 months (compared to 60 months in the DMP). So his credit is hurt by two years, but she is now free of debt, and has three years to repair and rebuild to make all payments on time. So let's look at where Borrower # 2 would be the end of five years in each option … with the DPP, has just made your last payment (for a total of $ 79,260 plus fees), is now debt free and leave your credit profile damaged. Under the alternative program, your credit report shows that the way she was behind on payments three years ago (which significantly impacted your credit score) but has been free of debt and making payments on time during the past 36 months (which has helped to rebuild their credit.) Oh, and incidentally, saved about $ 50,000 choosing this option on the DMP. So you can see it really depends on your personal situation either through a credit counseling DMP is a good idea for you. If you only a small amount, can be a good option. But if you have a significant amount of unsecured debt, you may want to compare the cost DMP face additional savings can be achieved through a choice of debt resolution. However, I DO NOT recommend choosing any debt settlement company but not for the reasons that most people suggest. I will advise you not to choose a debt settlement company because – even if it does (somehow) find high integrity, ethical debt settlement company – not a superior alternative: debt resolution. The concepts are similar, but due to resolution Debt is a program managed firms (as opposed to a private comany), provides inestimable benefits that the solution to the debt simply can not offer, and a lower cost. There is no space to review the differences here, but you can check out my answer to this question (copy and paste into a window new browser): http://answers.yahoo.com/question/index; _ylt = AhQIdMaQHurT6MMwgtm9FM7ty6IX; _ylv = 3? qid = 20100301082225AAYrSCm & show = 7 # profile-info-To s1OLajFVaa more information on how you can reduce your unsecured debt by 55% (guaranteed) and reduce your monthly payments by 50% or more, and do the same time avoiding harassing calls from creditors, surprise tax bills, and exorbitant fees, visit www.BetterThanDebtSettlement.com
Debt Management from Consolidated Credit Counseling Services
If you are with a plan of debt management or consumer credit counseling is seen as a Chap.13 on your credit?
Not necessarily. They are the same showing that is having significant financial difficulities. Are the same as the idea is to get out of debt – not lower payment so you can get more. For payment plans, each can be different. Chapter 13 of May or not pay all debts – unsecured especialy. Creditors have no choice. In the management credit – there are good plans and bad plans. Some credit mess, and sometimes more than 13 Cap. Good will help you get out of debt and help you manage your money without ruining your way too much credit. Does not happen often but as I to see the plans that will really help to pay for things instead of trying to force settlements by the throat of creditors. Sometimes a lot of decipline and making payments is best. It really depends on your financial problems and why you are having problems. Some people have over their heads, while some people simply do not have the discipline to write and send checks to maturity. Most creditors are more receptive to the provisions of the debtor that no third party interference.
Credit Counseling & Debt Management : How to Set up a Household Budget
