What are the benefits of the debt management plan?
Most creditors provide financially distressed clients the following direct benefits through the debt management plan: Lower monthly payments. Lower interest rates. Suspension of late and over limit fees. Account re-ages after several consecutive monthly payments. Discontinuation of collection calls. For consumers that are currently past due on their accounts the debt management plan will provide the immediate benefits of lower payments, late and over limit fee suspension and account re-ages. These benefits immediately provide our clients with a fresh start on paying their accounts and enable them to avoid collections, charged-off accounts and possible bankruptcy. The biggest long-term benefit of the debt management plan is the reduction in interest charges. Reduced APRs allow our clients to pay off their accounts faster while saving them possibly thousands in finance charges.
