Free Debt Management Advice for Single Parents (cont.)
Contributed by Lisa Marie
It's not the fault of the credit counseling services. The fault lies with the creditors. Legally, if you are paying your agreed upon payment on time, your creditor cannot report this as a negative mark on your credit report. However, there are other things that they can do to ruin your chances of obtaining credit in the future:
They can legally write a note in the comments section of your credit reports stating that you are using a debt management service to help pay your bills. What this does is flag future potential creditors. Future creditors will see this note when they pull your credit and see that you needed help in paying your credit obligation. Please note that not every creditor out there does not write a note in the comments column. Just the ones who want to. Would you want to extend a line of credit with a great interest rate to someone who had difficulties paying their debt?
The conclusion of my free advice on debt management-
If you have recently gotten or are getting a divorce, make sure that your ex is paying their fair share of the deal.
Take additional names off of credit cards as soon as possible.
Use caution when opening new credit cards to pay off old ones with higher interest rates. Having too many people looking at your credit report can be just as harmful as not paying them at all.
