Anyone ever used a debt consolidation company?

We have a few credit cards with HIGH APRs so we want to consolidate them anyone use the debt consolidation companies who negotiate a payoff for you? I hear it comsolidates and allows you to pay off large amounts within 2-3 years vs, 20+ years. I just hear it affects your credit adversely until it is all paid off Any thoughts?

Re: Anyone ever used a debt consolidation company?

I work at at a cc company and deal with this situation ALL the time... It very negative for you - as they usually dont tell you that... your best bet is to get another cc with 0% balance transfer offer and transfer the balances...

Trust me - anything they "settle" the account for a pay off its bot a good thing - Its negative... the only time you should consider it is if you are already past due and your credit history is already bad....

If you need/want any info just FM me...

Good luck

Re: Anyone ever used a debt consolidation company?

I wore for Washington Mutual. We do HELOCS (home equity lines of credit) lots of times for Debt Consolidation.

Re: Anyone ever used a debt consolidation company?

definately in the least get a cc with a low APR (some even offer O%). Until you do that, you can actually call your current company and explain that you are trying to pay down and ask them to lower your interest rate. They would rather do that then have you transfer to someone else.

Re: Anyone ever used a debt consolidation company?

If you "settle" on a bill like that... it will kill your credit.

Re: Anyone ever used a debt consolidation company?

i was in a consolidation company. it w orks. it does not ruin your credit. i'm able to finance a car, get a line of credit in 2 furniture stores and sleepys

Re: Anyone ever used a debt consolidation company?

I used one years ago, when I was younger and stupider about cc. Not only did I pay everything off but my credit score went up and I actually had better credit by the time I was done.

Re: Anyone ever used a debt consolidation company?

DH & I attempted to use one recently...they screwed us royally. They told us after we entered into their program that they will wait up to 90 days to hear from some of our companies. I did not like that. Plus, you have to grant them limited power of attorney if a settlement is accepted. I did not like that too much either.

We were also doing it to try & reduce some of the interest rates on some of DH's credit cards. He unfortunately was a big plastic freak before we got married & we have been having *issues* with a few of his cards.

Re: Anyone ever used a debt consolidation company?

I am using one now and it's the best thing I ever did. I was heavily in debt and I am almost finished paying everything off. And doing this did NOT hurt my credit one bit.

Re: Anyone ever used a debt consolidation company?

For those of you that used one, can you let us know what company you went through. Feel free to FM me too. If it doesn't kill your credit, I would be very intererested in this.