Americans owe over $870 billion in credit card debt, excluding mortgages, student loans, and other obligations. If you have a bit of debt, you've probably thought about how to manage it. Maybe you've even researched the best debt management programs.
A debt management program can help you get out of debt. However, you want to make sure you choose the right plan for you.
Debt Management: What You Need to Know
If you have a lot of debt, it can be hard to pay off on your own. However, there are still ways to lower your debt so you can eventually achieve financial freedom. But if you have a lot of debt, paying it off can seem impossible. That's why you should look into the best debt management programs.
To set up a debt management program, you will work with a third party, usually a credit counseling service, to create a plan for paying off your debt. The first thing you'll need to do is consider all of the debt you have. Credit card debt is the most common type to qualify for a debt management program.
Next, you'll talk with a credit counselor, who will teach you how to budget and avoid future debts. Then, the counselor will speak with the people you owe money to, and they'll try to negotiate interest rates and other fees.
How can you find the best debt management programs?
We all have unique financial situations, and one program won't work for everyone. Luckily, there are multiple debt management programs out there.
To find the best debt management programs for you, consider the amount and type of debt you have. Think about how much help you need from a credit counselor. Then, you can research the programs that can help reduce your debt and offer you the support you need.
Mapping the Path to Financial Freedom
To find the best debt management programs, we started with the experts. We then considered the cost and features of each program. If you're trying to get out of debt, the last thing you need is to pay for an expensive program.
We also took a look at what customers had to say. Of course, expert recommendations are essential. However, we wanted to know how people in debt felt about the best debt management programs.
Best Debt Management Programs
If you want to reduce your debt, then you should give the best debt management programs a try. With help from a credit counselor, you could reduce your interest rates and pay off your debt more quickly. While you can work to pay off your debt on your own, a debt management program can be helpful.
After all, a program can help you when you don't know where to start. However, you have to choose the best program for you. But what are the best debt management programs?
InCharge Debt Solutions
InCharge Debt Solutions can help you lower your interest rates, reduce your monthly payments, and get rid of fees. They can also help you consolidate your credit card bills into a single monthly payment. The company doesn't consider your credit score as a factor in managing your debt. And moving forward, they'll set you up with a realistic budget.
To get started, you need to complete a credit counseling session, which can take 25 to 60 minutes. You can complete the session online or over the phone. Customers on Trustpilot give InCharge an average rating of 9.5 out of 10. Multiple customers say the company is helpful in getting back on track with your finances.
However, one customer said their creditors received late payments. Another customer said InCharge dropped them after making an approved payment change.
Money Management International
With Money Management International, you can reduce your interest rates and waive late fees. They'll also help you lower your monthly payments. And if you're tired of constant collection calls, they'll get rid of those too. Like with InCharge, Money Management International requires a counseling appointment to get started.
You can participate in counseling at any time and over the phone. Therefore, that makes it one of the best debt management programs for anyone with a busy schedule. The average customer rating on Trustpilot is 9.5 out of 10. A couple of customers said the counseling staff was nice and helpful. Unfortunately, multiple customers complained of the company's lack of communication.
Next on our list is Consolidated Credit, which claims you can reduce your payments by up to 50 percent. They will review your debt, budget, and credit to determine the next steps you should take to pay off your debts. You start by talking to a counselor for free.
Then, you have time to think about moving forward. Once you decide to use their services, you will make single monthly payments to Consolidated Credit, and they will pay your creditors. They claim you can be out of debt in 36 months. Customers give Consolidated Credit an average rating of 9.4 out of 10 on Trustpilot. Customers say the services are helpful. However, some customers wish the counselors were easier to communicate with.
Cambridge Credit Counseling
Cambridge Credit Counseling can help you reduce your monthly payments. They'll also help you lower your interest rates. However, you can still get out of debt quickly. The company says you can be out of debt in 52 months. You can start by filling out their form online or calling to speak with someone.
On Trustpilot, customers give the company an average rating of 9.3 out of 10. Customers praise the service and professionalism of Cambridge Credit Counseling. However, other customers say the company didn't make payments on time.
Pay It Off
The best debt management programs are the perfect tool for getting out of mounds of debt. They can help lower your interest rates, and some even set you up with a budget. However, some of these programs don't pay your debts on time.
Depending on your situation, it may be better to pay off your debts on your own. You can make your own plan to pay off what you owe. Have you used a debt management program? What did you like or dislike about it? Leave a comment below!