Does consolidating debt ruin your credit mississippi phone dating

22-May-2020 20:56

Of course, if you have really excellent credit, then a few missed payments in the first month of your debt management program CAN make a difference and lower your scores.

But really, if your credit is that high you’d be better off consolidating on your own with a debt consolidation loan or credit card balance transfer. Any time you miss a payment, you hurt your credit score.

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Carrying a balance does not help your credit scores, no matter what you may have read or heard elsewhere.This gets reported on your credit report and the potential creditors or lenders start viewing such people as 'risky' borrowers.As far as the score is concerned, it will take a hit, but exactly by how many points, it is impossible to say. Your credit card score will not get affected by using a debt consolidation program.So it’s important to note that your creditors may report that you’ve missed a payment on your credit reports in the first month your plan starts.

Basically, this happens because there can be a gap between when a payment was supposed to be made on your previous payment schedule and the payments you’re making now.

But if you change the habits that led to debt and pay on time, every time, the overall effect should be positive.