I did it. I closed all my credit card accounts but one and am entering a DMP. I've completed all the paperwork and am sending it in tomorrow. My payments are going down by $200 and my interest rates are being drastically reduced. I feel so good about this. Plus, the program is through my credit union, so it's free. It says it will take me a little over 4 years to get rid of my debt. I can however make it go away faster by making larger payments. So I am excited that I am making some progress. I left off one card (as allowed) and chose my American Express because supposedly if you put them in a DMP they show it as a charge off and it messes up your credit rating. The only big concern I have is if this plan will hurt my chances of renting an apartment if I move since it will show up on my credit report. I figure I will just go for it and hope for the best.
Doing the Debt Managment Plan
July 4th, 2007 at 06:08 pm
July 4th, 2007 at 06:11 pm 1183572707
July 4th, 2007 at 06:41 pm 1183574514
We're married now and out of debt. It did take a few years, and I'm also not sure what the effect on our credit it's had. We're looking for a house this month, so we'll find out. But I would tell anyone to do this, and we would do it again (but won't have to, of course!). Whatever the effects on one's credit rating, it couldn't possibly be worse than just stopping paying your bills or going through bankruptcy.
You made the right choice. Good on you, and good luck!
Tiki (don't have a blog, but I read ya'll regularly)
July 4th, 2007 at 10:39 pm 1183588758
I know it must feel good!
July 5th, 2007 at 12:22 am 1183594976