onlybrad Posted April 25, 2007 Report Share Posted April 25, 2007 I have seen peoples scores drop that have been in those programs. Is it because of the slow pays or because it shows they are going through one of those programs that causes the score to drop? Link to comment Share on other sites More sharing options...
MadinKS Posted April 25, 2007 Report Share Posted April 25, 2007 It shows that you can't handle your finances. Link to comment Share on other sites More sharing options...
redbank Posted April 25, 2007 Report Share Posted April 25, 2007 I imagine it would be all the lates caused by slow pay. Link to comment Share on other sites More sharing options...
onlybrad Posted April 25, 2007 Author Report Share Posted April 25, 2007 It shows that you can't handle your finances.My question is... Would it cause your credit score to drop because of that reason alone of would lenders charge you a higher rate.Anybody with knowledge on this? Link to comment Share on other sites More sharing options...
mspzcpmom Posted April 25, 2007 Report Share Posted April 25, 2007 Usually, debt management companies take your first months of payments as part of their fee. That puts you 30 days late with your creditors. They expect you to pay them the fee and pay the creditors. Most people can't afford to do both.The Debt Mgmt Co won't put anything on your credit report but many creditors will indicate on your report that you are working with a debt mgmt co. Debt Mgmt is treated like a soft bankruptcy. Link to comment Share on other sites More sharing options...
jkbowen1021 Posted April 25, 2007 Report Share Posted April 25, 2007 When we were looking for a mortgage, I told the loan officer that we were looking into CCCS. He said "NO WAY!!!" Mortgage companies look at that worse than a Bank. He said "I would rather have you file BK7, then go with one of those companies." He stated that a company that does that drops your scores way more than a BK7. Taking his advise, I found this website. Link to comment Share on other sites More sharing options...
jazmin Posted April 27, 2007 Report Share Posted April 27, 2007 A few months ago b4 I found this site, I went to CCCS hoping to just get some info on credit. I knew how they worked so I had no intention of signing up, but now I have an inquiry from CCCS. Does that hurt my score in itself? Link to comment Share on other sites More sharing options...
feedup Posted April 27, 2007 Report Share Posted April 27, 2007 From personal experience .. the CCCS cause more harm to my credit than anything I could have done. While YES they intitally got my interest rates dropped (in some cases to 0%) as soon as they paid late I was listed in default and not only did the late pays show on my CR by my interst rates skyrocketed! Citibank for example went to 35%! My bad dream turned into a night mare and I am still trying to wake up! Link to comment Share on other sites More sharing options...
Ahntara Posted April 27, 2007 Report Share Posted April 27, 2007 Unfortunately, all too often CCC oftens turns into a "...nightmare..."Spread the word. Link to comment Share on other sites More sharing options...
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