Companies that lower credit card debt

kom526

kom526

They call me ... Sarcasmo
Start off by paying off your highest rate card first then progress down from there or call all of your CC companies and ask about any low rate transfer specials. I transferred a good portion of my balances to a 3.9% card that goes up to 6.9% fixed in April '09. Another option to try is to call all of your cards and ask for a lower % rate, if you are a good customer with good history they may help you out, while you are at it get your credit limit lowered to help with future credit checks.

Personally I wouldn't bother using one of the "debt counseling" services out there because I don't want to have to pay someone to give me advice/help that you can get for free.
 
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johnjrval424

New Member
Choklatjunkeee said:
Has anyone ever used one of these companies? I would greatly appreciate any information (pros/cons) that anyone could provide. TIA
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Basically, they do the same thing that you can do for yourself. They contact all of your credit card companies and "negotiate" better rates (sometimes even balance reductions) for you. However, BE CAREFUL - because if you subscribe to some of these companies, they will put an entry on your credit report that you sought debt counseling. This will count against your credit score and future lenders may frown upon you doing this. I realize this sounds contradictory (you are taking steps to preserve your credit rating and agreeing to pay back the debt) but they also see it as a potential money mismanagement situation.

Takes Kom's advice and call the credit card companies yourself. The person on the other end of the line will not know you, nor care, about who you are so there is no reason to be embarrassed about asking for a reduction. In these times, I would imagine quite a few people are doing the very same thing.
 
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czygvtwkr

Guest
What some do is tell you to quit paying, then after the credit companies give up they buy your debt for a fraction of what you owe then they try to bleed what they can out of you.

Yes it lowers what you owe but you ruin any credit you may have had and nobody will loan you so much as a tic-tac for years to come.
 
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