Credit Counseling Ripoff

OK so back in 03 we ran into a snag similar to what we are in now only then there was no obvious light. This time there is.

 

I was freaked out by the calls and just wanted them to stop so we signed up with Intellidebt. One of those debt counselors that you see on TV. Here is what it did for us and what it did not do for us:

 

The incompetent:

 

1)       The whole first $450 payment went to “admin costs” so the calls continued and dragged on for another month not to mention that what was slight lateness (about 30 days) turned into major credit damaging lateness (over 60 some reaching 90 before these morons sent them money)

2)       They charged us $77 a month for admin fees on top of what they paid the creditors

3)       They cant ever seem to get the due date right so occasional slightly late payments happened and cards dropped out from time to time

4)       The outrageous amount of the monthly payment (way more than the minimum) caused us to have to go more in debt and get more credit cards to pay for it

5)       We finally have it almost paid off and when we call to drop the program, nobody will talk to us. They promised callbacks and didn’t do it.

 

The Good:

 

 

1)       After 3 months, the calls stopped and one big payment is all we owed for the cards we put in the program.

2)       By giving up the cards, they did EVENTUALLY get paid off

3)       The interest rates were SLIGHTLY lowered

4)       It improved our credit rating after their incompetence damaged it.

 

 

This time we wont go for this. These supposed “non-profits” rip people off and don’t know how to run a business.

 

There is light at the end of this. Light from the IRS of all places. In a month, it will all be current and we will get out with fairly unscathed credit. Just a couple of over 30 days late.

 

I worked too damn hard to improve our credit and these dickheads didn’t help much. Just a warning to those stuck in debt. Debt counselors cant do anything you cant do yourself if you have the time and a thick skin. Neither of which do I have when it comes to creditors. Therefore changing my phone number and paying them a bit late works for me