Frequently Asked Questions
About the Debt
Management Program
Will your debt management program stop harassing phone calls from my creditors?
Once you have established a normal payment schedule and your creditors are receiving
your payments on-time each month, the phone calls should stop. It does take time
before all the creditors realize you are enrolled with Consolidated Credit Counselling
Services. If you continue to receive harassing phones calls from your creditors,
contact Consolidated’s client service division and we will inform them of your enrollment
and make them stop.
How will the program affect my credit report?
If you are currently “slow paying” or past due on your accounts, typically your
credit rating will improve. When you enrol in our program some creditors will bring your
account “current” after 3 months of payments arranged through our agency. Creditors
may elect, however, to make a comment on your credit report stating you are working
with a Counselling Agency. This may
also show as a rating of “R7” on your credit report.
To Learn more click here.
How will a creditor know I joined your program?
When you complete your enrollment forms with Consolidated Credit Counseling Services of Canada, Inc, we notify your creditors that you have
joined our debt management program and we will send them an official proposal that
includes all the pertinent information that your creditors require. If there are no changes to the proposal, you can begin the program. If changes are necessary,
we will notify you of the requested changes. The majority of creditors are willing
to work with debt management plans. It’s a better alternative than if you decided
to file for bankruptcy. In the end, a debt management program is more beneficial
for them and you.
How does a Debt Management Program differ from a Consumer Proposal?
Debt Management Programs are completely voluntary for you and your creditors.
A Consumer Proposal may reduce some of the debts owed to creditors. Debt Management
Programs provide complete payback to the creditors of your outstanding debt. Subsequently,
creditors look more positively at a Debt Management Program since it can help prevent
their clients from filing bankruptcy, which would cause them to write off or reduce
debts owed to them.
When can I expect to pay off my debt?
With our Debt Management Program most members are out of debt within 3 to 5 years.
Your bills are paid off sooner saving you thousands of dollars and years of payments. Find out how long it will take to pay off your credit card debts at your current
interest rate with our
Debt Calculator.
Will I receive statements from my creditors?
Yes, you will still likely receive statements each month from your creditors. These statements
still likely
will reflect how much your debt is being reduced and enable you to track the progress
you have been making. Please monitor these statements to make certain that the benefits
you have received, by enrolling in our debt management program, such as lower interest
rates and reduced fees, are active. If you find any discrepancies, don’t hesitate
to contact Consolidated’s client service division at 1-800-656-4049.
