How Does Debt Consolidation Affect Your Credit Report And Score? (see More Info)?

Answers:2   |   LastUpdateAt:2017-04-25 19:13:51  

Question
Wally
Asked at 2012-08-06 05:47:47
Recently, we have incurred some medical expenses very large ( more than 50 000 ) that we had no plan and had to put on our credit cards . We have been and are still able to make all monthly payments. However, some of these credit cards have a 29% interest rates and do not see how we get paid off. We just bought a house and tried to refinance and the representative told us that while our credit is excellent, but just too damn long to get a traditional loan. We see debt consolidation adds up all the time. I would like to hear from anyone who has actually done it , how it affects your credit report and score ? Besides, what the credit card companies report once it is consolidated ? Is reported cancellations or what?
Answer1GalaxyAnswered at 2012-08-06 08:13:47
Debt consolidation comes to your credit score and credit report, but only at first, once you start paying on time one after a while it produces the opposite effect and your credit score improved. That said, debt consolidation to improve your credit score in the long run if you pay on time , it is true that damages your score, how is it possible if you are paying your debt? How can it be possible after 12 timely payments ?

Now, 50Kcould be reduced up to 75 % if payment made ​​in lieu of debt, while this program debt management reduces your credit score at first, once more in the long run, when its debt said it has paid your credit score will be improved and saved considerable money.

I would suggest the investigation and comparison of both programs made ​​debt management a list of resources for both options
Answer2pikachu Answered at 2012-08-07 04:15:03
Stay away from any " debt consolidation " company that is committed to reducing its debt and payments in half through debt settlement .... This is a risky tactic of deliberately cease all payments to creditors and forcing their delinquent accounts to deal with the settlements. You pay a monthly fee to a debt consolidator .... the entire fee goes towards building a settlement account and consolidator 's fees to
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