Notify our office immediately. We will then make the necessary changes to ensure the new creditor is informed of your participation in our Debt Management Program and that your payment is being sent to the correct address.
All unsecured accounts should be included in the program in order for you to receive the full benefits of the program. You can add an account by sending a copy of your most recent creditor statement or by calling our office at 800-350-2227.
FSA/CCCS receives financial support through voluntary Fair Share and Grant contributions from creditors who participate in our Debt Management Program. However, we work with all creditors who are willing to accept our payments and offer benefits to our clients, regardless of whether or not the creditor provides financial support to FSA/CCCS.
Some creditors may contact the credit bureaus and put a notation on your report indicating that you’re going through credit counseling. This is a neutral notation that does not affect your credit score. However, individual creditors view this notation differently and it may affect your access to additional credit, so taking part in a Debt Management Plan (DMP) may have a negative impact on your credit.
Yes. You will continue to receive monthly statements from your creditors. You should check your statements to make sure they reflect payments made through the Debt Management Plan and that there are no late fees or overlimit fees being charged if the creditor had agreed to those terms. If you notice a problem, notify FSA/CCCS immediately. FSA/CCCS is not responsible for issues or errors that are not reported in a timely manner. If you are not receiving statements or your creditor refuses to send them, it is your responsibility to contact your creditor to check the status of your account.
Yes. Most creditors will not accept a Debt Management Proposal without first having the client cancel credit card insurance.
Your total monthly payment will remain the same throughout the life of the program. As one account is paid off, the funds for that creditor plus the maintenance fee will automatically be reallocated in a way that is most beneficial to you, which is generally the account with the highest interest rate.
A Debt Management Program is designed to complete in approximately 4-5 years based on the minimum required program payments. However, the length of the program will be determined by the total amount of your debt, your specific creditors, and whether you can send extra funds as you become more financially stable.
Program interest rates are predetermined by the individual creditors that you have.
A Debt Management Program can assist you in gaining control of your finances by developing a personal budget and help in improving cash flow. Creditors may provide benefits such as lower interest rates, stopping late and over limit fees, and reaging delinquent accounts to reflect a current status.
Our Debt Management Program can help you with both unsecured debts (such as credit cards, department store cards, medical bills, signature loans, and many collection accounts) and payments on secured loans if it is in your best interest.
There is a one-time fee of enrollment ($25 for Wisconsin Residents and $35 or Minnesota residents) and a monthly maintenance fee depending on the number of creditors and funds disbursed with maximum of $50.
No. We may work with your creditors and lenders to establish an affordable payment arrangement and try to help with your cash flow.