If you use credit card consolidation companies to help pay off debt, does this effect your credit ra

I understand that no new credit lines can be open until debt is pain off using this service.

If you use credit card consolidation companies to help pay off debt, does this effect your credit rating?

I echo what P S says above, read The Total Money Makeover by Ramsey.

Consolidation companies (most) look like a bankruptcy on your credit report. Also if you don%26#039;t fix the problem (over spending) consolidation just leads majority of people to get right back into debt via credit cards or the such.

You can do it yourself, you just need a budget and a game plan. Read the above mentioned book and you will be on your way to being debt free!

If you use credit card consolidation companies to help pay off debt, does this effect your credit rating?

You can visit http://www.cashguru.info and find very useful tips and several articles on debt consolidation. Report It

If you use credit card consolidation companies to help pay off debt, does this effect your credit rating?

most times they trash your credit rating.

If you do a little work and stick to a plan, you can do it yourself and actually build your rating.

Get this book - Total Money Makeover by Dave Ramsey.

I got rid of over $70k in Debt in 16 months. I am now debt free.

If you use credit card consolidation companies to help pay off debt, does this effect your credit rating?

They do not trash your credit. What happens is all of your accounts show on your credit bureau as being %26quot;Managed by credit counseling%26quot;.

This doe%26#039;s make it harder to get more credit while you are in credit counseling but not impossible. I get people approved every week to buy a car that are in credit counseling.

I would recommend Consumer Credit Counseling Services. They will work with your creditors to lower both your monthly payments and your interest rate. I used them several years ago and was debt free in 36-months.

If you use credit card consolidation companies to help pay off debt, does this effect your credit rating?

Please listen to the previous posters. They are absolutely correct. Do not use a credit counseling agency. All the home lenders view them the same they view a bankruptcy.

Get the book they mentioned and listen to Dave Ramsey on the internet or radio.

If you use credit card consolidation companies to help pay off debt, does this effect your credit rating?

Yes it does. No company will actually give you a loan and consolidate your debt so you can pay one monthly payment.

First thing is...they do make an inquiry on your credit report and that adds a line. Doesnt look so appealing to creditors that you couldnt handle paying your own bills.

Next...they go about paying your bills in three different ways and all of them which trash your credit....

First is...they will call and strike deals for lower payments with your creditors...your creditors will give it to them because it will cost less than sending it to a collection agency but it will appear on your credit.

Second is...they wait for your accounts to end up in collections if they havent already and than they call the bill collectors and beg to settle for a less amount. Normally this pisses the bill collector off.

third is...they call the collection agency and ask for a payment plan which you could do yourself.

The thing is...Bill Collectors and Creditors hate these guys and have no respect for them. The reason is that they lie about your financial circumstances as if we are unable to check ourselves and find out and they beg like filthy animals that just makes us sick. Have a little prestige for God%26#039;s sake. Who will have respect for people that beg half way crying to make a living?

So what happens is...you will see that most bill collectors will by pass your %26quot;credit manager%26quot; and tell them to F**k off. They will come to you directly and do what they need to do.

See the problem is that the creditor or the Agency do not have to take their deals, make deals with them or even accept offers.

Their arrangement is with you, not a third party. The %26quot;credit manager%26quot; can offer all they want but if the credit doesnt want it than thats it.

Also, they can not stop the creditors or bill collectors from filing a lawsuit or going after you.

So there is nothing they can do that you cant do. Do it yourself. Call the creditor or bill collector and explain why you can not pay...explain your financial situation. DONT LIE. Than ask for a convenient payment plan. They will in most cases hook you up with something reasonable.

If you have any questions email me.

Smile4cobra@yahoo.com