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Is it beneficial to join Consolidated Credit Counseling Services?
Question : Is it beneficial to join Consolidated Credit Counseling Services?
Is it beneficial to join Consolidated Credit Counseling Services? Im making my payments on time and I always pay more that the minimum but I just want to start saving a lil bit more each month. My credit score is also good so I was wondering if I should join this program to reduce and consolidate my payments. That way I can have more cash free every month. Anyone out there with a similar experience?
My goal is not necessarily to pay them off fast is to have more cash flow during the month.
credit counseling services
Best answer:
Answer by Judy
You don’t need them.
Get a book on Debt and Credit Repair and learn everything there is to learn about getting good credit.
This book has all the tricks on how to reduce payments on your cards, reduce interest rates, settle and negotiate like a pro.
IF you consolidate, you will only end up in more debt for a longer period of time.
Financially it is disastrous since you will paying interest for many, many more years.
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#2 written by Rick B 1 year ago
Why would you do that? Combining them will do nothing to get them paid off quicker. It will open them all up so you can charge them up again.
Follow Dave Ramsey’s debt snowball. Pay the minimums on all of them. On the one with the lowest balance, put ALL your extra money toward it. When it is paid off, take that minimum payment, plus the extra you were paying and apply it to the next smallest debt. Keep rolling this until you are paid off.
MATHEMATICALLY it would make more sense to pay the one with the highest interest rate first. BUT, you don’t have a math problem here, you have a behavior problem. Paying the smallest one down will give you a quick reward and will encourage you to stay on the plan. Yes, you may end up paying an extra $ 30 or $ 40 in interest over the course of the plan, but you are already paying double or triple on that latte you charged a year ago.
In the future, only charge what you can afford to PAY IN FULL as soon as the bill arrives.
Also, get together a cash emergency fund so this won’t happen again.
We are debt-free except our house and have about 6-month’s worth of expenses in the bank. We drive two paid in full cars that are only a few years old and we pay for everything in cash.
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The best way to deal with credit card debt is to apply for Debt Negotiation it is completely different way to deal with debt than consolidated credit counseling, It doesn’t hurts your credit score as credit counseling and you end up paying less than what you really owe. I applied for debt settlement about 5 years ago and I’m done with my $ 27.000 dollar debt that I had by only paying 350 dollars a month, I ended only paying 20,600 and the creditors reported on the credit bureau as paid in full, paid as agreed.
The company that helped me out had a A rating on the BBB and that is very important because there are a few companies that had really bad reviews, their web page is http://www.goldenfs.org their phone number is (866)376-9846