Question: Should I use a personal loan or debt management program to pay off my credit card debt?

I have about $25,000 of debt but can still pay monthly payments on time and have never missed a payment.

If I try to get a personal loan as opposed to a debt management program, which looks better to creditors?? My credit score is around 650-670. I am thinking of going to a non-profit credit counseling agency to see what they think.

I still have some stocks and bonds totaling $6,000. I do get paid consistently and have been trying some internet surveys to make some small money on the side to my job.

What things should I look for at the credit counseling agency?

Question: Entering into credit counseling with a debt management program or … ?

I am entering into a debt management program with a credit counseling company. I have about $17,500 in debt and my payment with the company would be about $400 a month.

My question is, would creditors be willing to accept 1/2 of the minimum balance that is due actually? I have 3 cards I’m in debt with, $285/month, $185/month, $165/month respectively.

I’m already 2 payments behind with 2 of the cards. Would the credit card companies accept a personal offer of 1/2 the usual minimum for a certain time frame? So I’d offer them $142.50, $92.50, $82.50.

Or since I’m already behind on payments should I stick with the debt management program (I just signed on and have to make my first payment on 2/28) and wait until I’ve been in the program a few months and then try to talk personally to my creditors and see what I can offer at that time??

Please advise. Thanks.

Question: Any advice on entering a debt management program?

I am considering entering a debt management programme because I am way over my head in credit card debt.

I know it may not be the best debt relief solution but it seems I keep putting it off, getting no where paying down my debt.

Does anyone have advice or comments?

Question: Is debt management program the right way to go?

We are drowning in debt. So far we have managed to get our MINIMUM monthly payments out each month but we are getting no where.

Would a debt management program be a good option for us?

What exactly is a debt management program or debt management plan? Where do I find a reliable debt management company or agency one to work with?

Question: Can I get a home equity loan while in a debt management program?

I just entered a debt management program to get control over my credit card debts. I have done this separate from my husband so that only my credit is affected.

Just after I entered into the program, my husband started showing interest in a home equity loan to consolidate his credit card debts and vehicle loans, and do home improvements.

In our marriage I am responsible for my own debts, but I am wondering if being in the DMP will affect the chances of us obtaining the home equity loan.

Serious educated replies will be very much appreciated.

Question: What happens if you get out of a debt management program?

I’m a 22 year old full time college student with a part time job.

About three months ago I joined a debt management program because I thought it would be easier for me to manage my credit card bills that way.

However now after joining, I’m realizing that I’m unable to keep up with the payments I’m making to them. It’s like after my other bills and this payment are taken out every month, I hardly have any money left and I think I’ve put myself in a bind.

If I leave the program now will this mess up my credit, will it make it harder for me to join a debt management program in the future, will my creditors be resistant to work things out with me in the future because of this?

I simply just can’t afford to be in the program now.

Question: How do I create a debt management programme?

I did an internet search and all lead me to already established debt management programs. I want to set up my own debt management program, which can negotiate with creditors, consolidate loans etc… How do I get started?

I reiterate: There are literally thousands of debt management, consolidation, counseling websites and resources. I am not looking to manage my own debts, I am looking to start a debt management program for other people.

I want to know what grants to apply for to begin a start up program. I want to know what regulations, fees, licenses I need to start my own debt management program so that others can come to me for debt consolidation services.

Is January a prosperous month to you? I think it is a lucky money month for me, the AKPK debt management program blogger, and hubby.

For me, a sudden increase in the number of product reviews is doubling this month’s income. If I add in my AdSense and Amazon earnings, wuahaha, this Chinese New Year is going to be a prosperous new year.

So far, my personal savings has reached RM1,700 without hubby’s knowledge.

As for hubby, besides his monthly salary of RM2,000, he will have a one-month bonus or maybe 1/2-month’s bonus. We are still grateful if he is only given a half-month bonus. After all, he only commenced his work on the 1st of July last year.

Oh, there’s still Ang Pao for him from the school! The amount of money given depends on his work performance. It will be between RM500 and RM1,000.

After deducting this month’s RM680 AKPK debt management repayments, RM820 car loan, RM374 home loan installment, RM150 bank overdraft interest charge, RM270 flat rental, RM110 phone and internet service charge, RM33 handphone fee, electricity bill, food and grocery expenses, there’s still money left to be saved as emergency fund and pay back some personal debt owed to friends/family.

According to a recent survey done by global payment firm Visa, cost of living, salary changes and personal debt are the top 3 financial concerns for Malaysians.

In the survey conducted between Aug 21 and Sept 23 last year, 69% of Malaysians said they were extremely concerned about the cost of living expenses while 62% and 59% were worried about salary changes and personal debt respectively.

“Malaysians were less worried about the value of their retirement fund and portfolio, and fluctuating interest rates,” the company said in a statement here yesterday.

However, 25% of those surveyed also said they were more confident about their personal financial situation compared to six months earlier although 52% felt there would be no change.

Only 23% indicated they were less confident than earlier.

Sixty-six per cent of Malaysians also said they were more concerned about the impact of the global financial crisis on the local economy.

The survey involved 5,520 respondents aged between 18 and 65 years, of whom 500 were from Malaysia.

The rest were from Australia, China, Hong Kong, India, Indonesia, Japan, Korea, New Zealand, Singapore and Taiwan.

Visa country manager Stuart Tomlinson said Malaysians were being practical during the current economic climate by focusing on managing their concerns, providing themselves with a level of security and peace of mind.

“For Malaysians, potential changes in salary levels are also of concern,” he said, adding that across the region, consumers were looking to see how they could manage their expenses, savings and job security, rather than macro-economic conditions such as exchange and interest rates.

As a credit-card-debt woman who has been in AKPK debt management program since October 2008, I no longer need to worry about my credit card and loan debts. Phew, no more harassing phone calls and legal notices from banks!

Happy New Year 2010! It’s the 2nd of January today and I am so tired now after a few hours’ washing and cleaning the rented flat.

Though I am very exhausted, I am glad that the new phone line and Streamyx broadband access accounts are finally up and running smoothly.

Many thanks to God and hubby’s buddy who made applying and installing the accounts fast and without hassle.

How’s the Streamyx Combo 1.0Mbps speed? Well, I must say that it’s faster than my previous RM66/month package. Super fast? Well, not really.

Anyway, I will observe the performance of Streamyx Combo 1.0Mbps for a few more days. If it’s super fast, you’ll see no blog post ranting about Streamyx from me.

It’s the 4th of January today. I wasn’t able to finish the post I wrote on the 2nd of January due to endless cleaning and unpacking the stuff.

I am tired and having a headache now. But, I still feel like updating my AKPK debt management programme progress blog a bit.

How’s the Streamyx speed? Still great. Nothing to complain about so far.

How about hubby’s and my AKPK debt management program repayments? The repayments are still made on time, so there is nothing to worry about.

Auto and home loan installments? Fine too.

Hubby’s income? Should be fine. It’s a steady income from his full time teaching job in a high school.

As for my online income, I have been seeing a little decrease in Google AdSense earnings since the 23rd December. Hopefully it’s only because of Christmas and New Year holidays.

Updated on January 6th, 2010: Thank God, my Google AdSense earnings starts picking up again. Phew, what a fright!