Christian Debt Consolidation Companies – A False Sense of Security?
The first company I looked at, Christian Debt Consolidation by Christan Crossroads, claims to help resolve debts quickly with integrity, I am guessing this means the other companies lack integrity. This company also claims to reduce debt up to 70%(depending on circumstances) as well as lowering interest rates. Late and over limit fees will be eliminated. This is non-profit company allows you to make one payment a moth on the day you choose. With God’s directions on the side of how to reduce your debt by using God’s plans.
The other company I looked at Surf-In-The-Spirit Debt Consolidation, claims to only work with Certified Christian Debt Organizations How do you become a certified Christian organization. This company also reduces debt by up to 50%, reducing or eliminating interest , and able to preserve or rebuild credit. When a consumer asked a question about the companies being able to restore credit, they replied that they are not able to do so. The companies will report that you have satisfied the requirements for the program. Okay.
With these two companies providing the same services as the “Non Christan” consolidation companies like; reducing debt by a certain percentage, help with interest and late fee, and the one payment a month option I did not see anything that would make these companies different. The words Christian and God were plastered all over the websites. I am not saying that these companies are not legit by any means. I am a Christian myself. With catch-lines like “Providing Faith-Based Credit Counseling,” and “Learning How to Manage Debt through Biblical Scripture” certainly keeps you interested in finding out more. All in all, whether it is a Christian company or not they all work off the same premise and have to follow the same rules and regulations.
I myself fell prey to a non-profit debt consolidation company. I was required to pay a gift that was included in my monthly payment. I did not get to choose what day of the month the payment was made to my creditors, therefore, making all my bills late. On top of all the fees I was accruing for being late, I was also accruing over limit fees. What ever happened to the help I was promised with that? I also still received monthly statements demanding the rest of the money that the creditors were not receiving from this organization. I ended up filing bankruptcy. These companies have a very negative effect on your credit.
So how could something that sounds so good, end up so bad? Most of the time that is how it works. If it sounds to good to be true it probably is. If your credit has gotten out of control and you need help, there are more options to consider besides working with one of these companies. Other resources for your problem might included a debt consolidation loan, home owners can refinance, even filing a chapter 13. Do plenty of research. Exhaust all of your possibilities before you have to resort to a debt consolidation and counseling company.
