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Since the thread about the CCCS has gotten to be just a lesson in manners I am going to give an honest critique as I am with a CCCS right now.

I'm torn in both directions.. on one hand they got my creditors to cut my interest rates (one was as high as 30%) and that has saved me money, but I am also getting charged $30 a month to use their services. So it's an added expense. It saves me a little money.. but I gave up some of my rights in the process.. that's how I feel.

They methodically debt my account for the amount (was $708 for a while but I got one of the cc's paid) on the 16th. The payments don't process with the banks until around the 26th or 27th. So there is a 10 day window in there where interest is still posting on the amount that I am paying. When I pay my cc's themselves (online) the amounts often are debited the next day and processed immediately.

Also, I owed discover about $10980 last month. The CCCS insisted I go through them to get the amount paid in full. So I called the CCCS and they gave me a payoff quote of $11115. So they added their fee. Furthermore they took so long to process it (they debited on the 8th) and the payment didn't post until the 20th -- which was after the statement with Discover closed. So instead of having zero balance more interest posted.

Third, the CCCS caused me to be deliquent on one of my CC's when the program started. Since I could make the payments myself there was a $150 late balance that was remaining unpaid. The CCCS gave me roundabout reasons about me getting late notices, and the bank wasn't clear either as they thought it was an issue that was being resolved by the CCCS.

I was never late on any payments on any line of credit before joining a CCCS, it's just the debts got to be too much to handle (at 30% interest you could imagine)

I was essentially able to do the same thing as the CCCS with my other credit cards (the CCCS wouldn't work with certain creditors such as American Express because I wasn't late on anything) and I've gotten them all down to around 7% interest and I am hacking away at the balances.

If you have no other option a CCCS will help you, but if you're like me and want control and can control things I'd recommend writing each of your creditors a letter asking for help with interest reduction, supplying them your monthly budget, and a debt payment plan. Most will probably be willing to work with you.
 

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I think the fee you pay monthly is based on how much debt you are paying off. We are paying off 60k and our fee per month is $12. We did have a one time fee at first of $35 and yes, we did have to be late that first month because of the timing of it all. After that, all late fees, over limit fees, etc are discontinued. It's part of the agreement the creditors agree to with CCCS ....a benefit we were unable to get on our own. NONE of our creditors would budge as far as APR rate or late fees or anything. A couple of these companies my husband had been a customer in good standing with for over 20 years, and the first sign of trouble they were ready to sue sue sue.
 

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Discussion Starter · #4 ·
CCCS = Consumer Credit Counseling Service

The problem I am having is that we don't have $60k in debt we are managing through them -- just 25k.. The 30 a month seems high -- and on top of that I think they're overcharging me and I'm going to try to get out of the program ASAP.
 

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Thank you for responding. The main reason we were looking into it was the reason Yankeemom said. I called some of our creditors and they would not budge on the apr and we had never been late before!! One creditor that we have more than one card with, raised all of our monthly payments in one month because some law changed and they could charge their minimum payment more per month. Yes, that would get us paid off faster but it all hit around the time we had just moved and my dh's job changed and his pay went down. When I called and asked them to put our payment down for awhile they wouldn't budge on that either. My payment posted one day late one month so they smelled trouble and raised my apr to some outrageous apr from a balance trasfer amount that was super reasonable. I called them on that and they said too bad because it posted a day late. They have not been willing to work with us at all. I just got a letter from that credit card and they have closed all of our accounts because we called in and said we were in trouble. I wasn't going to use the cards anymore anyway, but we are not even late yet. I will do anything to get them people paid off and never deal with them again. Btw, it is a big credit card company so I figured they would be more willing but they really don't care.
Sorry this is so long. Yankeemom, if you don't mind me asking, how did you pick which company to go with? There are so many that it is confusing. Thanks for any help. Amy
 

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Sorry this is so long. Yankeemom, if you don't mind me asking, how did you pick which company to go with? There are so many that it is confusing. Thanks for any help. Amy
That's the tricky part. Picking one that is an actual not-for-profit CCC service. Find one that is a non-profit agency. Search your local community, ask your bank even. Ours is luckily right down the street from our house.
 

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Another option

We have been with ACCC for a few months now. We are not charged a monthly fee and they cut our interest rates so low! We are so pleased with this company. My sister also went through ACCC and became debt free without owing them anything! I highly recomend it. consumercredit.com
 

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We used CCCS twice....the first time, they didn't charge us a fee at all,mind you, that was years ago...they got the interest down on all of our cards, and one went to zero interest.....

The second time we used them, things had changed and we were charged a monthly fee of fifteen dollars,(if my memory is correct)...we didn't do as well with the interest that time ....we ended up doing a refinance on our house and paid the rest off that way....

I don't think they are a bad program, they get you to face your debts...

Have dh and I learned from all our past money mistakes, I don't really know...right now we are refinanced yet again (this is probably the 4th time)...We both have addictions to spending:sigh:
 

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Just to be certain. Are you in CCCS through a NFCC.org certified organization or is this a commercial debt company. Your fees upfront seem unusal for a non-profit CCCS. I am charged a monthly fee regardless of the amount of debt. However, you are charge only as long as you have the debt to pay off.
Your credit will rebound in a few month. Mind had dropped to 520 when I first started but I am about 690 now. After the first three months, Creditors begin to report you as current. see my previous posts
 
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