I love reading sincere and constructive comments left by readers. Today I am going to share with you, Sally, who left a comment on my blog post Hubby’s RM200 Budget Envelope for Weekly Cash Expenses.

Hi Vedis, I’ve been a loyal follower to your blog on journey to regain your financial freedom again. I’m drowned with unmanageable debt myself and planning to pursue AKPK soon. Wish me luck!

Oh, if you subscribe to Astro, you should check out channel 733 – Discovery Home & Health’s Til Debt Do Us Part. This show actually features her helping couples with financial problems so that they’re moving towards financial freedom within a certain period of time.

Currently I think they’re showing it on weekdays at 11:30pm and I make it a point not to miss the show whenever I could. I think you gonna love this show!

Alternatively, you may check out her website at www.gailvazoxlade.com to learn about the show & use some of her interesting financial tools to help you manage your personal finances.

Hi, Sally, it’s nice that you cared to look up my name before leaving your comment. This definitely spurred me to go on reading your comment.

You’ve got to hurry if you want to enroll in AKPK’s debt management plan. I read that the number of people with credit card debt trying to sign up with the program is on the increase; an AKPK DMP applicant said his appointment with the credit counselor was a few weeks after the credit counseling briefing!

I remember when I made an appointment with my credit counselor Mr. C in Ipoh branch back in August 2008, it’s very fast. I mean I met the counselor the next day! When my hubby was ready to enroll in the debt management programme in December 2008, he had to meet the lady counselor the following week!

Of course in the end, he didn’t have to wait until the following week to see the credit counselor; he met her the following day after I called and talked to the counselor.

What did I say to the counselor that she agreed to let hubby see her the next day? Well, I told her that I was also in the AKPK debt management program and I had already gotten the original and photocopy of all required documents ready. I told her that I had even worked out the debt repayment amount for hubby’s plan.

I convinced her that she didn’t have to give hubby any credit counseling session as I had already told him everything that he needed to know.

The lady counselor just needed to fork out 15 minutes to go through all the documents to see if hubby was eligible for the debt repayment plan.

Sally, thanks for telling me Astro’s Discovery Home & Health’s Til Debt Do Us Part programme. Unfortunately, I am not an Astro viewer.

But I will google to see if there are online videos or clips for this Til Debt Do Us Part program. Oh, I tell you, I love watching reality TV shows!

I will definitely spend some time reading this Canada credit counselor and personal money management expert, Gail Vaz Oxlade’s articles at her website.

Wish you good luck! May AKPK debt management program help you get out of unmanageable debt soon.

Updated on 02/10/2009: You can watch the videos of Til Debt Do Us Part online at www.Slice.ca provided you are living in Canada.

Are you burdened with too much credit card debt that you are thinking of applying for Malaysia’s AKPK debt management programme (DMP)? But, you are also worried whether AKPK, the credit counseling and debt management agency set up by the Central Bank of Malaysia, is a scam or not, right?

I understand. Been there and done that.

To thoroughly convince yourself to enroll in the debt management plan, read as many success stories of AKPK as possible. There are more success stories of AKPK or AKPK bloggers now if compared to last August when I submitted my application form.

Before you read others’ experience using debt management program, read the FIRST AKPK success story; it’s my bumpy journey from submitting the application form to being approved of the debt repayment plan.

And here is another success story that I would like to share with you. CEO, a man who is under RM200,000 credit card debt, has successfully applied for the AKPK debt management program recently.

He left a long comment at my credit card debt blog on August 1st, thanking me for sharing my credit card debt reduction and AKPK application process with others.

You don’t have to hop over to my credit card debt blog to read his comment. I have decided to copy and paste the entire comment on this debt management program blog for easy reading.

First of all, A BIG THANK TO YOU FOR THIS BLOG. You are not only a woman of courage to reveal all that detail, but you have helped me tremendously.

I just got out from the AKPK office, and they proposed to reduce my monthly commitment from nearly RM10,000 to just RM2,000 per month.

I got into a heavy credit card debt 5 years ago when a friend asked me to join him in a business. Trusting him, I quit my job, funded the business with my credit cards, supported HIM with a supplementary credit card which he took only 1 month to swipe up RM20k, and lastly he just ran away, leaving me to pay everything.

Finally, the economy hit my career, and this month I had to accept a drastic paycut. It scared me at first, but I decided that maybe there was a silver lining.

I found your blog. I read and re-read it until 3 am.

I thought — maybe, if I go to AKPK, and they reduce my monthly repayment, I can actually start seeing some SURPLUS from my smaller income. Better to have a small income but with extra money, than having a big income but nothing to show for it. Of course, with my previous 5-figure salary, AKPK would just kick me out, but now I had the advantage of the situation.

Last Monday, I braved myself to go to AKPK. It was the hardest thing to do, to be SEEN walking into debt counseling. I have appeared in the media before, television, magazines and newspapers. Didn’t know where to hide my face. I arrived at 11.45, and was put immediately into the intro class.

I was surprised to see quite a few “corporate people” in the class, dressed in their office attire. I don’t know if they were as ‘embarrassed’ as I was to be there. I sat down for 1 1/2 hours, after which I immediately went to Bank Negara to collect my credit report.

I made the earliest possible appointment to see a credit counselor. In the meantime, I went to each bank and collected any missing statements.

I went to see the counselor this morning. She was polite, comforting and never did anything to make you feel small. She said she would try to negotiate it down to RM1,800 a month for the first 2 years then RM2,200+ thereafter. I said never mind, let’s make it RM2,000 flat. I’m sure by the time the economy rebounds, I will be able to afford the RM2,000 easily.

She even guided me to fill up the application form properly (to fill the correct figures so the application can be approved easier). In short, she was there to help, and I mean REALLY help.

I got close to RM300k at first, but over the years, paying slowly, I have managed to bring everything down to under RM200k (which makes your RM60k something to smile about, actually!).

I have been earning 5-figures every month from my salary, yet I never get to taste my own money. My children have to settle for cheap clothings like poor kids.

Every month, I pay pay pay pay… I try to keep myself motivated, but it is tiring to wake up every morning, thinking to yourself, “I am running every day, only to stand still.”

She asked for the first payment of RM2,000 to be deposited, which I will do next week as the banks are closed today. From there, processing will take approximately one month.

She says no need to pay the creditors, if they call I just need to tell them I have submitted an AKPK application and fax the deposit slip if necessary.

Fortunately I am not yet under any legal problems, and most of my loans are still current. If you are thinking about doing it, do it now. It is important to take action at THIS stage before the banks start harassing you.

I do not really care that I will not be able to get any new loans until the 10 years are up. I am selling my house and just live with the car. Maybe not now, but when the economy goes back up, and my salary climbs back to normal, I should be able to save up for a couple of years, and pay for a new budget-priced apartment in cash. The important thing is I will now have a positive income and room to breathe, and I HAVE YOU TO THANK.

God bless you. Please keep up the good work.

Since I was approved of the AKPK debt management program (DMP), I have always been asked by readers or friends why I chose to get out of debt with a debt management program.

There were several reasons why I enrolled in a debt management programme and not debt consolidation or debt settlement. Debt settlement? I wonder if there is any debt settlement plan in my country.

First and foremost, it’s FREE to join the AKPK debt management plan. You are not charged any enrollment fee or monthly service fee. Yes, the DMP provided by AKPK (Agensi Kaunseling Dan Pengurusan Kredit) is free; it comes with zero enrollment fee or monthly service charge.

Since the program is free to join and at that time I had had enough of my piled up credit card debt, I made an appointment with a senior credit counselor in Ipoh branch.

Did I do any DIY debt management to get rid of credit card debt? Of course, I did. In fact, I began budgeting and cutting spending starting April 2007 to pay down my credit card debt before finally signing up with the AKPK program.

In a span of almost one and a half year, I managed to pay down my debt from RM63,809 ($18,000 plus) to RM40,344.

Just as I thought I could slowly pay off my credit card through budgeting and cutting back on spending, bad things crept in one by one.

Firstly, hubby and I were not able to generate more income to pay the bills. Money was always not enough when it came to making payments to credit cards, home and car loans, utility bills and personal expenses.

We started being in late in payments or skipping some of the credit card minimum payments. As a result, late payment fees, penalty charges, over-limit fees, and other miscellaneous fees began piling up and added to my already piled up credit card debt.

One day after watching the AKPK’s TV commercial ad, I decided to pay a visit to the agency and enroll in its debt repayment plan to help me get out of credit card debt without stress.

Since I was in the debt management program in October 2008, I have always been asked why I opted for a debt management program to get rid of my credit card debt.

There were a few reasons why I signed up a debt management plan and not any debt consolidation or debt settlement.

First off, the debt repayment plan I enrolled in is FREE. There is no initial fee or monthly service fee charged by the credit counseling and debt management agency.

Yes, it’s a free debt management program that is only available in my country. It’s not available to people in the US, UK, Canada and other countries.

As it’s a free debt relief program and I had come to a point that I couldn’t go on paying the huge amount of minimum payments, I decided to enroll in the debt management program.

But why didn’t I DIY debt management to pay off the credit card debt?

Oh, I did. In April 2007, I started self-help debt reduction to pay down some of my credit card debt before I joined the DMP. Between April 2007 and August 2008, I managed to bring down my credit card debt from RM63,809 ($18,000 in USD) to RM40,334.

Just as I thought my effort of tackling my credit card debt would pay off if I kept on budgeting and curbing my spending habits, bad things kept popping up.

First of all, the expenses always surpassed the income. Due to economy downturn, hubby and I were not making sufficient money to pay all the credit card minimum payments, car and home loan installments, utility bills and daily expenses.

When we failed to make payments on time, you know what will come next, right? Yup, banks and creditors started charging late payment fees, over the limit charges, cash advance fees, retail interest charges into my credit card accounts.

One day in August 2008, I told hubby that I had had enough of my credit card debt, non-stop phone calls from banks and warning notices issued by creditors. I wanted to get rid of them.

So, I am now in the free debt management program.

If you are in debt trouble, you have probably heard about getting help from debt relief options like credit counseling, debt consolidation, debt management and debt settlement.

Often times, the term “credit counseling” is used in the same sentence as debt settlement, but actually, it’s a completely different process.

With credit counseling, you will actually work with a credit counselor to pay off your debt in smaller, monthly payments that you can afford.

So, do you really need credit counseling to get you out of debt? You need it if you have been receiving harassing phone calls from bill collectors or if you are unable to make another month’s high interest credit card payments.

Before you attend any credit counseling briefing, it’s important that you choose a good credit counseling agency so that you are not scammed.

Look for a reliable 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).

Once you have identified the right credit counseling agency, you’ll have to meet with a certified credit counselor, and provide him with all of the details of your debt.

After a thorough review of your debt, credit history, and a detailed analysis of each of your creditor accounts, your credit counselor will let you know if there is a need for you to enroll in a debt management program.

Once it is determined that signing up with a debt management plan is right for you, your debt management program counselor will negotiate with all of your creditors to reduce interest rates, eliminate late payment fees and lower payments before creating an affordable debt repayment plan that you can live with.

It’s true that working with a credit counseling service can do some damage to your credit report. But if you are at the stage where your last resort is filing for bankruptcy, you would definitely consider a debt management plan in order to avoid bankruptcy or a report full of charge-offs.

Are you drowning in heaps of credit card debt and struggling hard to pay even the minimum payments every month? Well, you are not alone.

According to research, the average family in the United States has $7,000 in credit card debt and pays about $1,000 interest each year!

Throw in a late payment or two, or an over-limit charge, and that number skyrockets. Imagine what you could do with that $1,000 if it weren’t being spent on interest!

This is one of the major reasons why I decided to enroll in a free debt management program. I couldn’t bear with the exorbitant late payment fees and over-limit charges anymore; no matter how much hard-earned money I threw into making the minimum payments, the total credit card debt didn’t seem to decrease much.

It’s true that if you just pay the minimum payments, it will take forever to get you out of debt. Let’s say you have $5,000 debt on one credit card that is charging you 17.5% APR. If you pay only the minimum due of $25 per month on this card, you will never pay it off! The interest alone on this credit card is $73 per month!

By the time you have been paying on this $5,000 for 10 years, assuming you have not used the card during this entire period of time, you will owe $20,385! That’s over $15,000 in interest.

So, how are you going to get out of credit card debt before it’s too late? As for me, I enrolled in a free debt management program to help bring me back to financial track.

I have been in the debt repayment plan since October 2008.

Are you deep in debt and struggling to pay even the minimum payments? If so, you had better start using DIY debt management tips to help you get out of debt fast or seek help from credit counseling.

A credit counseling agency, either non-profit or for-profit, offers you credit counseling advice including how to use credit lines wisely; establish a workable budget; keep track of your bills; and best manage your money.

During a credit counseling session, a certified credit counselor will first gather as much information about your income, expenses and debts as possible. Once he has sufficient information from you, he will evaluate the information, discuss your situation with you and offer the most appropriate debt management advice for your situation to help you rectify your financial problems.

If it is determined that participating in an educational class is not sufficient to help you get back on the track to financial security, you will then be recommended to enroll in a debt repayment plan.

Debt management plan is also known as debt repayment plan.

When choosing a credit counseling agency, it’s important that you spend enough time researching and picking the most reputable agency.

Most important of all, look for a credit counseling and debt management agency that has satisfied clients, offers personalized service from certified counselors, educates you how to make appropriate financial choices and provides you with the tools you need to achieve financial security.

Remember, the best credit counseling service agency needs not have a big advertising campaign. Don’t be tempted to think that just because it has a big advertising campaign, it is the best.

A reputable and reliable credit counseling and debt management company normally relies on past clients for referrals rather than soliciting business through constant television ads, infomercials and telemarketing or spam e-mails.

It’s too late for me to be debt free fast with credit counseling or DIY debt management, but it’s not too late for you, right? Don’t wait until you need to enroll in a debt management program, debt settlement plan or declare bankruptcy.

Should you consider debt consolidation or debt management program in this economic slowdown where you are faced with threats of job loss, falling portfolio values, and rising costs of consumer goods?

According to financial experts, you probably do not need any debt consolidation or debt management if you are able to make your current payments and have reasonable interest rates.

However, if you are suffering from so much unmanageable debt that you are unable to make ends meet and make even the minimum payments, then there is a need for you to really consider if a debt consolidation loan or a debt management program is right for you.

What’s the difference between a debt consolidation loan and a debt management plan?

Debt Consolidation. Debt consolidation is a process where all your multiple debts and loans like credit cards, car loans and other high-interest debts are lumped into a loan with one monthly payment with lower interest rate. With reduced monthly payment and interest rate, you can pay off your credit card debt faster.

The catch is such loan requires that you own a house, so that the loan can be taken against equity in the home. There are risks involved with putting your house up for collateral on a debt consolidation loan.

If unfortunately something unexpected happens to your income and you find that you can’t make the proposed loan payment, you could lose your house.

This is one of the major reasons why I opted for a debt management program rather than debt consolidation.

Debt Management Program. During a free consultation, a certified credit counselor will only recommend a debt management program after going over your income and expenses and finding that credit counseling is not enough to bring your financial back to a manageable level.

If it is determined that a DMP is right for your, the credit counselor will negotiate with all your unsecured creditors to obtain the lowest monthly obligation that satisfies all your current accounts.

Being put in a debt management program means that you make only ONE payment with reduced interest rate to One credit counseling agency on One due date; you no longer have to be stressed by paying multiple credit card payments to various banks on different due dates.

Most important of all, all late payment fees and over-limit charges are waived once you are in a debt repayment plan. No more harassing phone calls from banks, warning notices from creditors and annoying visits by third party collection agencies.

No matter which debt relief program you choose, be it a debt consolidation loan or a debt management program, your ultimate goal is to pay off all your debt and bring your finances and credit score back to the right track.

This is the continuance post of Read Others’ Experiences Using Debt Management Programs – Part 1.

Once it is determined that you are eligible for a debt management program, your credit counselor will negotiate with your creditors for lower payments and interest rates.

Instead of making multiple credit card payments to different banks and creditors on various due date, a debt repayment plan enables you to make ONE payment to One agency on ONE date.

You start making payment to the credit counseling agency’s collection account and the monthly payment will then be distributed out to your creditors.

Take the late payments or insufficient funds seriously! They can cause your debt management program to become null and void, so be in time or on time when it comes to making your monthly repayment.

While in the DMP, you can’t apply for any new credit cards or loans. I have been living without the convenience of a credit card for more than 7 months already.

I have been told by my counselor that I can make extra payments to some of the large credit card balances while I am in the program. Just make sure that I have some emergency funds before I go to settle a large credit card balance.

If your debt is up to your ears and you are looking for debt relief options to bring relief, a debt management program can be just what you need.

The Federal Trade Commission (FTC) has very useful information about using debt management programs (DMPs) effectively and about how to know if the program is legitimate.

Are you still unsure if you should enroll in a debt management program?

Like you, I tried to find as many bloggers who were currently in debt management programs or had already been off the programs before I was convinced that a debt management plan was the right debt relief program for me.

I understand. There are simply too many cons and scams on the net which sound too good to be true that you need people who are already in debt management programs to share with you a legal, honest place for you to go.

Signing up a debt management program with a scam credit counseling company which results in more debts, damaging credit score, harassing phone calls and legal notices is the last thing you want.

Today I am sharing with you Olivia Sage, a newly-divorced woman with $15,000 credit card debt’s Experiences Using a Non-Profit Debt Management Program.

Before you hop over to read her debt management program experience, read mine too. I am a credit card debt blogger who is also in a debt management program.

Before you enroll in a DMP, call up a reputable non-profit credit counseling service agency in your country and make an appointment to meet one of the certified credit counselors.

Once you are in the agency, the credit counselor will have a thorough review of all your debts as well as your income and monthly expenses to evaluate if you need to debt repayment plan.

If it is determined that you need to enroll in a debt management program to help you get out of debt without much stress, your counselor will negotiate with your creditors for lower interest rates and lower monthly payments.

Usually your creditors will stop harassing you with phone calls and legal letters when they come to know that you are in the process of a debt management program.

The only difference between my debt management plan and Olivia’s debt management program is the fee. Olivia paid CCCS an initial fee around $50 and a $24 monthly fee for as long as she was on the program while my debt management program is free of charge.

A free debt management program can only be found in certain countries like my country – Malaysia. There is neither an enrollment fee nor a monthly fee.

Continue with Read Others’ Experiences Using Debt Management Plans – Part 2.