Tag Archives: Credit Card Debts

Can You Get A Home Equity Loan While In A Debt Management Program?

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Posted by Vedis the DMP Blogger on February 6, 2010 – 2:23 pm
Filed under Debt Management Programs, Questions & Answers

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.

Top 3 Financial Worries For Malaysians – Living Cost, Salary & Personal Debt

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Posted by Vedis the DMP Blogger on January 15, 2010 – 8:42 am
Filed under AKPK Debt Management Plan, Credit Card Debts, Debt Management Programs, Financial News & Updates

Top 3 Financial Worries for MalaysiansAccording 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!

A Debt Management Program When You Can No Longer Pay Your Credit Card Debts

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Posted by Vedis the DMP Blogger on October 19, 2009 – 2:56 am
Filed under Credit Counselors, Debt Management Programs

What happens when you can no longer pay your credit card debts or credit card payments? Well, you have the option of a debt management program to help bring you back to right financial track.

Debt management program, also known as debt management plan, is individually designed to consolidate all your multiple credit card payments into one lower payment.

The debt management repayment is often made affordable to you so that you can pay all your credit card payments.

Of course, a debt management plan is NOT an option for you if you are already at advanced litigation process or involved in bankruptcy.

If you find that a debt management program is right for you after a credit counselling session, your credit counsellor will start negotiating with your creditors to lower the credit card monthly payments, reduce the interest rates, and waive late payments and over-the-limit charges.

Often times, your creditors or banks will agree to the affordable repayment plan just so they can receive any amount of payment towards the balance you owe them.

As a credit card debt woman who is now in a free debt management program, I must admit that it is a great solution for helping me get rid of my credit card debts.

The DMP not only allows me to pay ONE lower repayment every month, it also stops the wave of annoying or even threatening phone calls or warning letters from the banks and credit card companies.

Signing up for a debt management program is easy; it’s a matter of finding a credit counseling and debt management company you feel comfortable with that is difficult.

Make sure you find a credit counselling and debt management agency that will work best for you. Remember, you want the right debt management program to put an end to your pestering debt problem, not creating more debt.

How A Debt Management Program Blogger Saves Some Extra Cash Through Minor Changes

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Posted by Vedis the DMP Blogger on August 30, 2009 – 2:23 pm
Filed under AKPK Debt Management Plan, Cash Is King, Saving Money

How A Debt Management Program Blogger Saves Extra CashAfter the recent 6D 5N trip in the city, I must admit that I am blown away by the way my sisters and other family members spend their money.

Don’t get me wrong. They don’t spend their money with credit cards. No. Instead, they use cash all the time.

They spend their money as if they have lots of cash, as if it’s easy to make money, as if the bad economy has not affected them at all, as if …

Well, they don’t act as if. The truth is they really do have lots of cash; they don’t have the habits of swiping credit cards.

To them, making money is easy; their hardware stores and motor shops are still making good profits despite bad economy.

Their way of spending money makes me realize the power of using cash and the goodness of not being in credit card debts or other debts.

Serve me right! I only realize the power of cash after getting in deep debt trouble and being in AKPK debt management program (DMP).

Since in the DMP, I have come to love using cash and saving some extra cash by following easy money-saving changes.

If you are also on tight budget and would like to save some extra cash, try out some of these easy money-saving changes; they are actually minor changes to the way you use products and items in your everyday life.

1. Buy the Cheapest Hand Soap. Always buy the cheapest hand soap you can find. The quality doesn’t necessarily go up with the price and you can use it in place of bath soap.

2. Fully Use the Whole Product. Ask any thrifty mom you know and you’ll surely hear this money saving tip of turning bottles upside down and draining to get the last bit from them. :-)

Others are tearing open sugar and flour packets to get everything; squeezing or cutting open tubes to use up all before opening new ones. You’ll be amazed at how much there really is left!

3. Never Use More Than You Need. Just because it is stated on the box that you need a full cup of detergent, it doesn’t mean that you really pour a full cup.

As hubby and I don’t sweat a lot, there is really no need to use a full cup as what the manufacturer says. Instead, half a measure of laundry detergent is usually enough.

4. Use Some of the Things in Your House Creatively. Instead of spending money on the fancy floor cleaners, try using ammonia that also does a great job. Use plain water in between times.

If your furniture needs some polishing, mix equal parts of white vinegar and vegetable oil and rub on the furniture. Buff with a cloth until it shines.

Sure, they are minor changes, but they do add up in the long run and put some extra cash into your pocket throughout the year!

Seek Help Before Resorting To Any Debt Management Program Or Debt Consolidation

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Posted by Vedis the DMP Blogger on August 17, 2009 – 9:48 am
Filed under Debt Consolidation Loans, Debt Management Companies, Debt Management Programs

Congratulations if you are able to keep your credit card debts at reasonable and manageable levels. Unlike you, my credit card debts ended up incurring exorbitant interest charges, late payments fess and over-limit charges until I no longer was able to make next month’s payments and had to resort to a free debt management program.

If you ever find yourself having problems with paying off your credit card debts, the first course of action is to take a look at the budget. Finding ways to cut back on unnecessary expenses can help you pay down debts and keep monthly bills current.

But what if you can’t settle your debt problems with budgeting? Well, seek assistance from debt help relief options to help gain control over your debts so that your credit rating will not suffer badly.

Debt Consolidation. You may turn to debt consolidation as an answer to your debt problems. Debt consolidation enables you to transfer all your high-interest credit card debts to a lower interest credit card, or you put up the equity in your home to get the money to pay off your debts.

While both unsecured and secured debt consolidation options provide lower payments, they are with some drawbacks. Closing numerous credit card accounts and putting all of your debts into one account can negatively impact your ratio of debt to available credit, lowering your credit score.

And if you use your home equity to secure the money needed to pay off debts, you’re putting your home at an unnecessary risk. You face the risk of losing your home if you fail to make payments.

Credit Counseling. Another popular debt relief option is credit counseling. Credit counseling agencies, non-profit or for-profit, offer help with budgeting, and if it is determined that budgeting is not enough to solve your debt problems, they will sign you up with a debt management program.

A debt management program, also known as debt management plan, involves negotiation with creditors to reduce interest rates, eliminate late payment fees or over the limit charges, and lower payments.

You make one monthly affordable payment to the credit counseling agency’s collection account, and the agent forwards payments to each of your creditors.

A DMP can help you get out of debt faster, but it can also have negative impact on your credit score. As a note is added to your credit report stating that you are in a debt management plan, you no longer can get a new credit card or loan. However, the notation is removed once you’ve settled your debts.

Either you decide to enroll in debt consolidation or a debt management plan, it’s important to make sure you’re dealing with a reputable credit counseling agency that is a member of the Association of Independent Consumer Credit Counseling Agencies (AICCCA) or the National Foundation of Credit Counseling (NFCC).

As AICCCA and NFCC regulate and monitor member agencies to make sure that they operate legally and ethically, you save yourself from being scammed by unscrupulous credit counseling agencies that charge high fees or fail to make payments to creditors on time.

To prevent yourself from facing undue stress caused by spiraling debts and damaging credit score, it’s wise to seek help at the first sign of trouble.

Free Debt Management Program Helps You Get Out Of Credit Card Debt

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Posted by Vedis the DMP Blogger on April 26, 2009 – 1:43 pm
Filed under Debt Management Programs

Are you drowning in multiple debts? Are your earnings for the month not enough to cover the monthly repayments required? Is your mail box stuffed with warning letters and legal notices from credit card companies? Are there times when you just want to run away from your credit card debts and creditors?

I used to be like you too – I was drowning in heaps of secured and unsecured debts; my monthly income was always not enough to pay the minimum payments; the mail box was filled with warning notices and legal letters from credit card companies and there were many times that I just wanted to run to another country to start a new life.

However, you can get out of this terrible debt situation by signing up a free debt management program.

Debt management programs, both non-profit and for profit, are programs designed to help those who can no longer make payments on their cards, and are used as a last step toward bankruptcy.

When you enroll into a free debt management program, a credit counselor will speak to creditors on behalf of you to make negotiations about your outstanding debts, interest rates, and late payment fees or over-limit fees.

A good debt management counselor who is in charge of negotiating with your creditors to reduce your monthly payments to match your ability to pay can help you reduce your monthly repayments to your creditors up to 75%.

The credit counseling agency that takes one monthly sum from you will be in charge of redistributing the funds to all your creditors.

Once you are in the debt management program, your creditors will not contact you to demand you to pay your debts.

Debt management plan tends to have less impact on your credit score, as compared to bankruptcy, but requires that you have sufficient income to cover your living expenses, plus the plan payment.

As a conclusion, debt management program enables you to easily reduce your debts and make single monthly payment to one credit counseling agency on one date.