Bad Credit Agency

Too much credit debt ... Should I use a credit repair service?

My CC debt is very high (>$30K), and the payments are getting too high. I have a great credit rating, but I can't keep up with high payments for the next 20 yrs. Should I use a credit repair service to negotiate the debt down, and make payments to them? If I do, they say I could be debt free in 36 to 48 months. What are the risks involved other than a bad credit rating for 3 yrs?

Public Comments

1. No, credit repair services charge you for something you can do for free. To me, they are a fraud. You get into an agreement with them, and then you basically let them pay your bills for you and if they don't, your credit still suffers. What you need to do is just push every extra dollar to these debts. pay more than the minimum payment, and get it reduced. You can do this yourself. Might take a little longer, but you can do it.
2. NO!!!! Don't do CC. It will negatively effect your score and look very bad. I would either get a personal loan for debt consolidation, or transfer the balances all to one credit card. You may have to call one of the card companies and tell them what you're going want a credit line increase so you can transfer the balance. They will usually do it. Then pay off the card until you can get it under half of your available credit. This will work for you. You have those 2 options. Another option is if you own your home, look to do a home equity line and pay off the balances with that. It's tax deductible too. Plus the rates are really good right now. Good luck
3. No. You can negotiate yourself. Also- I recommend you start to tune into Dave Ramsey's radio program. You can check his web site to see what station broadcasts in your area. Also check out his books. He give really good advice on dealing with high debt. It's very common for folks to call into his radio show w/ huge credit card debts. The program that he outlines for paying debt off is hard - takes discipline. (Also -- a bad credit rating sticks around longer than 3 years.) www.daveramsey.com
4. If your credit is negatively effected by using debt consolidation service, you can use Favore Credit to remove negative items and keep your good credit. Favore Credit specializes in credit restoration. We can have your negative credit items removed by our legal credit team, and provide a money back warranty. Clients who know our product, have seen 98% success rate. For more details, visit Favore Credit: http://www.favorecredit.com Contact us for more information on how we can help change your financial future. Call Favore today to discuss your options, 1.888.724.8194 Wishing you best of luck!
5. Don't do a repair service. My credit card debt was also very high, so I got a new credit card with a 0% interest for as long as possible (the longest I could find was 12 months) and then transfer all of your balance over to that card. Make payments to that credit card and your debt will slowly decrease. When that 12 months is up, open a new credit card with a 0% interest rate and begin this process all over again. Just don't forget to close the old account!
6. Hello my friend, If you have great credit, why don't you apply for a card that offers 0% finance charges for 6 months to a year. Transfer you balance to that card and pay off as much as you can before interest applies. Then repeat the process, until you are debt free. Going through a credit repair service can negatively affect your credit for up to 7 years. This should be your last resort. You can even call your card companies and ask them to lower your interest rate. Also mention that you are thinking of transferring there balance to a lower interest rate card. But, if they lowered your interest rate, you would consider staying with them. Remember, they need you more than you need them. There are a lot of credit card companies out there. I hope this helps. Ollie G http://www.df4u2.com
7. debt settlement will be the best option in your case this way you lower your debt and payment in most case they will bring down your debt up to 70%. check out www.creditservicesolutions.com they will give you a free analysiss on your debt to let you know what your options will be and how much they could lower your debt. http://creditservicesolutions.com/
8. Two points to make here. First, a credit repair company does not negotiate your debts. That is a debt consolidation or credit counseling company that does that kind of work. The credit repair companies fix the damage that the other two companies will do to your credit reports. Second, the credit counseling type of businesses are good to use for many people. Most people don't know what their rights are under the law and will just allow the credit card companies to dictate terms to them. For example: did you know that you have the right to change the terms of your contract with the credit card companies? I will bet that 99 of every 100 people who read this answer will say they did not know that you could. That is why people use credit counseling companies; because they just don't know the laws. It is because people don't know how the laws that are written to protect them work, that the credit card companies can get away with doing what they do to us. They put men in jail for doing that to women, so why do we allow the credit card companies to do it to us? One other thing, you will have a bad credit rating for up to 10 years if you use a standard three year repayment plan that the credit counseling companies use. I am not telling you not to use them. You have to determine for yourself whether or not the cost is worth the benefits. Just understand, most will promise more than they can deliver. If you have any further questions regarding this or any other credit issues, please feel free to contact me at nebula7693@yahoo.com
9. Yes, credit repair works fine. Try this one - http://freecreditreport.sinfree.net They disputed and cleaned off lots of bad items from my credit report. You will spend lots of time by personally doing it... I guess you are not a lawyer.
10. Hi, I used "Credit Solution" to settle my debt and improve my credit score.They managed to reduce my debt up to 58%.It's legitimate. Icame across this company on NBC News Special Edition.Check it out here: http://dwarfurl.com/76860