Who is Debt Reduction Services?

Debt Reduction Services is a not for profit credit counseling and debt management solutions agency established in 1996 to provide financial counseling and education, and in those instances where applicable, couple that instruction and counseling with our debt management programs to help manage credit card debt, student loan and personal debt by providing payment consolidation and debt reduction. Our credit counselors are certified by the National Institute for Financial Education. Debt Reduction Services is ISO 9001:2000 certified, as well as a member of the Better Business Bureau (BBB), and the American Association of Debt Management Organizations (AADMO).

What is a Debt Management Program?

A debt management program is a proven program for consumers who can no longer continue to meet his or her financial obligations, such as credit card debt, student loans, and other personal and unsecured debt, due to any number of different circumstances. Debt Reduction Services provides consumer credit counseling and can work directly with your creditors to create a repayment plan that often includes a lower monthly payment, stopped or reduced interest, and the elimination of late fees and over limit fees. This way, more of your payment goes to reducing your debt, thus getting you out of debt faster. You make one payment to Debt Reduction Services each month, and in turn, we disburse the payments to all of your creditors. If this sounds like a real solution to your debt problems, contact us today, and learn to live debt free.

What types of debt can Debt Reduction Services help me with?

	Generally, Debt Reduction Services can help you with unsecured debt such as the following:
	· Credit Card Debt · Department Store Credit Cards · Oil/Gas Credit Cards · Personal Loans (unsecured) · Overdue Rent · Autos (Repos) · Finance Company Loans (unsecured) · Student Loans   · Old Utility Bills · Medical/ Hospital Bills · Payday/ Check Cashing Loans · IRS Taxes · State Taxes · Overdue Child Support · ALL OTHER UNSECURED DEBT

What will a debt management program with Debt Reduction Services cost me?

Unlike many other credit counseling agencies, there is never a charge for Debt Reduction Services consultations and money management seminars. Costs for our debt management program may vary based on state regulations and the number of creditors you place on the program. Clients typically pay a nominal set-up cost to cover the expense of account setup, and a monthly service charge to cover recurring expenses. To find out your specific debt management program costs and begin debt recovery, call us to speak with a certified credit counselor.

Why are creditors willing to work with Debt Reduction Services and not me?

Debt Reduction Services is an accredited credit counseling and debt management solutions service trained in budgeting and financial counseling. Creditors believe clients are more likely to repay his or her debt while participating in a debt management program like the Debt Reductions Services program. Therefore, they are often willing to negotiate more favorable terms for debt consolidation and repayment in order to avoid more serious debt problems, which may result in clients falling further behind in payments or defaulting on their credit card, student loan or other personal loan balances.

How long will it take me to get out of debt with a debt management program?

The timeframe for eliminating debt depends on each individual’s circumstance and how much total debt you have. Most clients pay off their debt within 3 - 5 years on our debt management program. You will know approximately how long it will take you to get out of debt based on the financial information you supply to one of our certified credit counselors during your consultation with Debt Reductions Services.

How do I know my accounts are getting paid?

You will continue to receive your regular creditor statements, showing the payments that have been applied. Also we will send you a quarterly recap of all payments received and disbursed by Debt Reduction Services.

Can I continue to use my credit cards for charging?

The objective of the Debt Reduction Services debt management program is to get you out of debt as quickly as possible, so the creditors you put on the program will inactivate their accounts with you while at the same time granting you program benefits that allow you to consolidate debt, lower payments, and move toward debt reduction. Credit card accounts will be closed to further charging by the creditors.

Do I need to own a home to begin debt management services?

No, because the Debt Reduction Services debt management program is not a loan, you do not need to own a home for collateral to engage help with debt management.

How will this affect my credit and credit report?

According to Fair Isaac, the company that invented the FICO credit risk score that lenders use, what is not factored into your score is “Whether or not you are participating in a credit counseling or debt management of any kind” (source www.myfico.com). While in a debt management program, consistent on time monthly payments and debt reduction continues to be the most important factor in obtaining a better credit score on your credit report. No one can promise a quick fix or credit repair when it comes to your credit report.

Is the debt management program like filing for bankruptcy?

No, our debt management programs have helped people AVOID Bankruptcy. And unlike bankruptcy, the program will help you pay off your debt in full and get your finances under control. Bankruptcy should be your last stop, not your first. It can stay on your credit record for up to ten years, and could make it more difficult to obtain credit in the future, whereas debt management can help find solutions to your debt problems and eventually eliminate debt.

How can I attend money management seminars or schedule a speaker for my organization?

Debt Reduction Services offers a wide variety of money management seminars and classes for individual debt management instruction, or group presentations on consumer credit counseling issues. Seminars and classes are available for the classroom, elementary all the way through the college level, as well as for employers, social service groups, or other organizations of any size that are interested in debt reduction and recovery. Please contact a Debt Reduction Services office nearest you, or contact our corporate headquarters for more information. Learn more about eliminating debt and how to begin living debt free.