Credit cards debts consolidation is this true? or it a scam? and if it affected your credit bad after you?
Posted on 05 February 2010 by Debt Helper
Most consolidation plans are scams. They make money for the consolidators and turn your credit from marginal or bad to even worse.
Some are ok, but you need one that doesn’t charge any fees and that YOU understand the plan completely.They will take your money and do little for you.
Everything they do is in books.
You can do everything they do on your own with books from your libary or bookstore.
Look in debt/ credit repair in the finance section.
/There is a reason they call it debt "con"solidation as Dave Ramsey would say. These companies often are working for the credit card companies on their behalf. A simple principal is to make sure you are current with payments, never ever ever give them access to your checking account cuz they will clean you out. Go to www.daveramsey.com for real solutions. ThanksMost of these guys take money up front from you to negotiate reduced debt with your creditors. You pay them a big fat fee. Often, they get your money, your SS#, credit card numbers and even power of attorney and you never see them again. There are NON PROFIT agencies out there that do this FOR FREE. I’m not talking about Not-For-Profit .. that’s just a tax status. Do not get suckered into paying ANYONE to settle your debt when there is free counseling. PLEASE BE CAREFUL of any debt consolidation or settlement company offering to reduce your debt by 50% or something and then for a fee. If their website does not end in .org, don’t deal with them. If you continue to get calls such as this, and you are on the Government DO NOT CALL LIST, you can contact the FTC at 877-382-4357 or visit www.ftc.gov to file a complaint. You can also read interesting info from Katie: http://www.smartcreditinfo.com/thetruth.html … AND … for information on this and many other scams, check out www.clarkhoward.com
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