subject: Debt Management – What You Need To Know About A Debt Management Plan [print this page] Debt Management and your credit Debt Management and your credit
A creditor does have the right to report that you are in a DMP. This does not affect your actual credit score however when attempting to obtain new financing this can sometimes be a disqualifying factor. Typically banks want to see you out of a DMP before they lend you money. This mostly applies to larger loans such as financing obtained for the purpose of a refinance or the purchase of a new home. If you make your payments as designated through the program then your credit scores will most likely improve. DMP's are a a good fit for people that have very high interest rates, don't need a significant reduction of their monthly payments and don't want to hurt their credit.
Debt Management What You Need To Know About A Debt Management Plan
