Debt Consolidation Companies?


Question:
Are all these debt consolidation companies for real. They advertise they can reduce your bebt by up to 75%.; Are these some sort of scams?

Answer:
Go to one of these and your credit is done. It will be the same as filing for bankruptcy when it comes to buying a home. They can get your debt reduced, but this is how they do it. First they tell you to stop paying your payments (there goes your credit), then when you are about 3 months behind they contact your creditors and make a deal to take less. If you send them the money sometimes it doesn't get paid anyway. IF you use one, be very careful. You should just pay your debt for yourself. A good book to read that will help you get out of debt is "Total Money Makeover" by Dave Ramsey.
Some of them are legite. But if you can pay them yourself, it looks better I think on your credit report. It will take a long time too.
Actually they are real. I use a good one called AAA Fair Credit. They reduce your debt by talking with your debtors and making a plan to reduce your monthly payment and getting a lower interest rate.
here is an article which would be of your help:

Debt Consolidation
http://www.askaquery.com/answers/qn1643.
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