Debt Counseling Limitations
What debt management programs cannot do for debt relief.
We find Counsellors
to be a wonderful tool to help you understand your debt problems, solve
them, and move on. Considering that money problems are so wide spread
today, taking the steps necessary to understand and resolve these issues
in your own life is the only way to really
be
successful in debt management.
It is very important that you include every debt and expense in your money
management budget. All the debts and expenses included in your budget are
taken into consideration when CCCS negotiates on your behalf.
However, there may be some debts that they are unable to place into your debt
repayment plan including:
- Secured debts, such as mortgages and car loans
- Current bills for utilities
Some debts will be considered and may be included on a case by case basis.
Some of these may include:
- Past due portions of utilities
- Past due taxes
- Judgments
More Limitations
Debt Counseling Services cannot reduce the principal you owe on a debt. To
reduce principal balance on debts, you may want to consider
debt
negotiation & debt settlement services.
CCCS Debt Counseling cannot freeze your credit rating, or protect
your credit. They will not report your participation in their debt
management program to credit bureaus. However, some creditors may report which
could negatively impact your credit rating. If you maintain your obligations
under the Debt Management Agreement, any negative impact is greatly reduced.
Once you have made 3 or 4 months payments under your DMA, most creditors will
reage your account and place it's status as current in your credit report.
Counseling Essential Preparation
You can now see why it is so important to have a draft of your budget ready
when you consider debt counseling.
If you don't know what you can afford
to pay, you won't be able to make an educated decision as to whether debt
counseling is right for your financial situation.
Learn What You Can To Prepare
Tools and resources are provided to help you with
money
management skills that will teach you to create a budget you can live
with, educate you about your personal finances, and start you on the road
to true debt relief that will last a lifetime.
This
highly recommended credit counseling service can save you thousands of dollars
and they deal with your creditors directly. They adhere to AICCCA standards and
offer online account management. Take the initiative, and make
the initial contact for online debt management.
Return to the top of
Debt Counseling Limitations
Return to
Consumer Credit Counseling
Intro.
Getting The Answers You Need
Be sure and check out the various debt solution reviews, tips, and articles
provided on DebtSteps.com:
Find Your Solution
offers a comprehensive list of reviews to get out of debt once and for all.
Get answers on bankruptcy, consumer credit counseling, debt settlement, money
management, budgeting, loans and mortgages.
Debt Relief Tips
& Articles to guide you on your way to financial freedom. Get the
lowdown on dealing with debt collectors, handling money problems, understanding
your credit, and more.