DEBT MANAGEMENT PLAN (DMP)
Worried about your credit card debt? Behind on
payments or just plain making no progress?
A Debt
Management Plan may be the answer. Here's how it works:
How does a
DMP help?
You make one monthly payment to LSS, which we distribute to
all creditors on the DMP. Payments on a DMP may be lower
than your current required payment, and many creditors will
reduce interest rates and stop late or over-limit fees once
on a DMP.
Is there a
fee for this service?
The budget counseling intake is free. If you decide a
DMP is right for you, there is a $35 fee to start the
program and a monthly fee based on the size of your DMP
payment, up to a maximum of $50 per month, Most clients find
that the benefits of the DMP more than cover any costs of
being on the plan.
Will a DMP
affect my credit rating?
Creditors have their own policies on reporting
participation in a DMP to credit bureaus. Fair, Isaac and
Company, who produce the FICO credit score that many lenders
use, are on record that they will not deduct any points from
your score for being on a DMP. A DMP may improve your
chances of getting credit in the future since you will have
repaid your debts in full.
How do I get
started?
Start with your free budget counseling, either in-person, by
phone, or online. Our financial counselors can quote you a DMP based on your specific creditors and will be glad to
answer any questions you have about the plan.
