Non Profit Debt Management for Fixed Incomes
Contributed by Lisa Marie
Can a non profit debt management service help if you're on a fixed income?
Non profit debt management management services sound great, don't they? They can work with your creditors to reduce or even eliminate your interest, and put all of your credit card debt onto one lower monthly payment, thus paying off your debt faster...They even give you a time frame in which you will be debt free. Doesn't this sound great? There are non profit companies out there who actually want to help you get out of debt, and if they are non profit, they have to be legitimate, right?
Beware of what non profit debt management services don't tell you!
What the very pleasant representative of the non profit debt management service on the phone DOESN'T tell you is just this: This can actually ruin your credit, it actually looks worse than bankruptcy to your future potential creditors.
The fact is, just because a company says that it's non profit, it doesn't mean that they don't make any money. Of course they make money. The people who you talk to you on the phone do get paid...they are not volunteers that are there out of the kindness of their hearts to help you get out of debt. These people have supervisors who also get paid, and they have bosses and so and so on. They operate out of a building which requires electricity and phone lines which all require money to maintain and operate. So who pays for all of this? You do, my friend-you do.
