After graduating from nursing school, Judy* began applying for credit cards. Anticipating an increase in income, she felt confident that she could afford the purchases she was charging. Before long, however, Judy became accustomed to being able to buy the things she wanted on credit, and she began to treat her credit card as a supplement to her nursing salary.
The debt slowly grew out of control and Judy began to fall behind on her payments. Debt collectors began to call her at home. She tried borrowing from one credit card to pay another, but she couldn't seem to get back on track. Judy knew that her husband, Richard, heard the phone calls and observed the notices she was receiving in the mail, but they'd never discussed how much Judy had been lent or how much she owed. She knew she had to confront the situation and own up to Richard about the debt she had incurred.
After discussing the situation openly and honestly, Judy and Richard searched for ways to pay off the rising burden of debt and, to their relief, discovered the Debt Management Plan (DMP) offered by Consumer Credit Counseling Service. They immediately scheduled a free, no obligation appointment with Ryan Hicks, Certified Credit Counselor. After sharing their own unique situation, Richard and Judy listened as Ryan explained how CCCS could reduce their interest rates and minimum monthly payments in order for their debts to be paid off quickly and efficiently.
Recalling their first meeting, Ryan noted, "By only making her minimum payments, it would have taken Judy over 30 years to pay off her bills. By enrolling in the DMP, we were able to work with her creditors to shrink her minimum payments and lower her interest rates so that she would complete all credit card payments within 5 years. As long as Richard and Judy could handle their new budget, we would handle the debt side for them."
Though the repayment process initially felt slow and burdensome, after the first year Judy could see the progress she was making and the light at the end of the tunnel. On the DMP, she was able to lower her monthly payments from $1,790 to $1,180, saving $610 every month. Judy made her last payment this past February, paying off a total of $59,546 in only 4 years and 3 months!
Judy admitted that, though she earned a healthy salary, she had allowed her lifestyle to exceed her income. She explained that working with CCCS enabled her to adjust her spending habits, remarking "I've learned to live on what I can pay cash for." After making her final payment, she shared how grateful she was for the DMP and declared that she recommends the plan to anyone with debt.
Congratulations, Judy! We're so glad we were able to assist you in becoming debt free!
*Names have been altered to preserve anonymity.
If you are struggling with an overwhelming burden of debt, please don't hesitate to contact CCCS. Call (423)490-5620, email CCCSreception@PartnershipFCA.com, or live chat with a certified counselor right now!