Credit Counseling Services....any good? Recommendations?

[tjdee]

Reading about the new bankruptcy law this afternoon has left me a nervous wreck... my credit is horrible, when I got my new job I took a pay cut....etc.

I'm a single parent and don't want to go to debtor's prison. :nopity:

I googled around, and just read an article that some of them weren't legit.

So I'm just curious if any DUers have experience with them?

[AlCzervik]

1. look here, check it out but do a little research

http://www.cccsintl.org/

[tjdee]

5. Thank you!

This seems to be the place the other post below is talking about.

[rox63]

16. These guys helped me out big-time

I went through CCCS and got completely out of debt. After I finished paying everything off, I decided I did want to get one major credit card. But I've kept it to only that one card, and I keep the balance on it low.

So these guys are for real, and they are trustworthy.

[Love Bug]

2. I had a good experience with

Consumers Credit Counseling Service some years ago. They helped me get out of the hole I dug for myself.

[tjdee]

4. Besides making the payment, do you have to show them your

expenses? On the rare occasion I take my kid to McDonald's, is that going to have to be documented?

Is that a dumb question?

I'm going to call them, but I figured I'd ask you since you're here. :)

[Lerkfish]

3. my wife used to work for Consumer Credit Counseling, a nonprofit

affiliated with Lutheran Social Services.

Back when she worked for them, it was a good deal for clients, because credit card companies gave them a big break for coming up with a settlement to pay that was more of a compromise.

but then, other forprofit groups popped up, and the big breaks that CC companies used to give consumers to allow them to pay off debts dried up because the profit groups arranged a more lucrative payback system so the the CC companies end up with more money overall.

So, the good places, like the one my wife worked for, get squeezed out and are in less a position to be as helpful.

But, having said that, ANY company that helps you manage your finances is a good thing, just be sure they don't make your situation worse. A GOOD place will be upfront with you that you have to realistically:

1. stop using cards immediately
2. cut back on expenses and devote a larger amount to paying off bills
3. find additional sources of income or ways to cut corners so that your cost of living does not interfere with whittling down your debt load.

[tjdee]

6. I've stopped using the credit cards, that's one down...

thank you for the advice.
This is all old debt that is just going up, and up...I've had my spending under control for about a year, but you'd never know it by the way all my bills....grrrr.

It's my own fault...

[LSparkle]

9. I'm in the same boat

and really appreciate this thread. It's my own fault, too ... but part of it was my own overoptimistic view of my professional life. I expected to get raises and for 3 years got none, gas prices (and lots of other prices) have risen ... and when I look at my balances I can swear that purchases only constitute about half of what I currently owe. I don't spend ANYTHING anymore (just essentials; don't even buy clothes anymore and I'm a woman!). I take the bulk of the responsbility for my predicament but with the way they jack up your interest rate and charge you late fees if you're even one day late, it makes it really, really, REALLY hard to get out from under once your "gameplan" doesn't completely pan out or there's even a minor emergency (car repair, illness) that throws you off course. I'm going to check out the site above and wish us all good luck ...

[tjdee]

10. That's the worst thing--the minor emergency.

For me, it was having to change my living arrangements and having a car accident. Up until then I was doing pretty good.

And you are SO RIGHT, purchases only make up half of what I owe! It's so frustrating, because my frivolous spending is a trip to McDonald's once every so often.

Good luck to you too!

[China_cat]

7. Can you open word files?

If so, I've got a book that may help you. I know I got a lot out of it.

[HarukaTheTrophyWife]

8. I'm interested in that book.

My email is [e-mail]

Thanks.

[tjdee]

11. Yes--can you pm me with it?

Very interested, though I'm pretty pessimistic about my financial future--in terms of solutions...

Thank you!

[China_cat]

12. I don't know how to attach files to a pm

email me at [e-mail]

[tjdee]

15. Okey dokey!

Will do.

[China_cat]

13. I was too

after my husband was out of work for 2 years, my physical condition and then when he did find a job, it paid about half what he had been making.

We're now making headway.

[gizmo1979]

14. I'am using a credit service right now

I'll give you the good first,the assholes stop calling and nagging and threatening.Now the bad news,our payment was so high that we had very little money left over so when an unexpected expense came up that put us behind again.the kicker is that late charges keep accruing on cards because you are not making the payment on x amount of dollars so that becomes 30 60 90 day late.My credit score went from 680 to 520 since I started the program.It will get them off your back though so just for that it was worth it.

[China_cat]

17. For anybody else

getting the credit companies to stop calling is really easy. You send them a registered letter telling them that you will only deal with them by snail mail and not to call any more. They have to stop.