I have $43,000 in credit card debt across 7 credit cards. I have been making all my monthly payments and can continue to do so, but paying off this debt will take too long to imagine. I am considering Money Management International. Does this make sense for me?
If I do this, or any similar program, how will this impact my credit?
The debt is all in my name. How will any of this impact my wife’s credit?
If I did go with Money Management International, I understand that the accounts I give them will be closed. Do I have to give them all the open accounts? Is it good for me to keep open at least one or two of my accounts (the oldest ones), and pay them off myself quickly, so that I can maintain some decent credit history?
Thanks for the advice!
There is no magic pill to eliminate interest without some impact. It’s not the enrolling in a credit counseling or debt management program that hurts you, it’s the hit your credit score takes when all your accounts are closed. You might want to read Why Enrolling in a Credit Counseling Program Can Hurt Your Credit Score.
The Money Management International debt management program is the same as that offered by most credit counseling agencies. So the choice of the company isn’t the issue here.
If these debts are all in your name it will not include your wife at all.
If you wanted to try to get a lower interest rate and you have good credit now then you can look into a fixed rate unsecured debt consolidation loan from LendingClub.com.
Outside of that your choices are more drastic, like bankruptcy.
Generally a credit counseling program will require you to include all accounts but talk that over with them.
Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.Big Hug!
Get Out of Debt Guy - Twitter , G+ , Facebook
If you have a credit or debt question you'd like to ask just use the online form .