Debt Consolidation Care Review: Is It A Scam Or Is It Legit?

With mixed reviews and limited information available, it is essential to explore the pros and cons of Debt Consolidation Care. In this review, we will delve into Debt Consolidation Care’s features, services, and overall reputation as a debt settlement company, providing you with the necessary information to make an informed decision.

Debt Consolidation Care is an online platform that aims to provide guidance and support to individuals looking to get out of debt and achieve financial freedom.

However, upon visiting the Debt Consolidation Care website, one may be struck by its outdated appearance and the presence of a copyright date from several years ago. This raises initial doubts about the company’s current status and effectiveness. While it is true that the service is still operational and offers assistance with financial matters, navigating through the website to truly understand how it works can be a slippery task.

On one hand, the website proudly proclaims to provide free debt counseling and assistance through their touted “internet’s first get-out-of-debt community,” claiming to have helped over 470,000 community members overcome their debts. However, the lack of customer testimonials is concerning, as out of nearly half a million members, only 12 testimonials are showcased on the site. This paucity of feedback leaves potential customers wondering about the true impact and effectiveness of Debt Consolidation Care’s services.

Understanding Debt Consolidation Care

Debt Consolidation Care is an internet-based “get out of debt” community with over 545,503 members. The company was established in 2004 by Vikas Kedia and is owned by InterNet Technologies Inc. Headquartered in Nevada, Debt Consolidation Care aims to help individuals overcome their debt burdens and achieve financial freedom. The company not only focuses on providing debt solutions but also emphasizes educating and guiding customers with money management tips.

Debt Consolidation Care offers a range of resources to assist individuals in their debt consolidation journey. These resources include debt calculators, educational articles, financial coaches, and IAPDA-certified (International Association of Professional Debt Arbitrators) counselors. Additionally, customers can take advantage of a free debt consultation to assess their financial situation and explore potential debt repayment strategies for their credit card debt.

The Good: Consolidation Help, Debt Consolidation Care Steps, and Educational Resources

Debt Consolidation Care provides several benefits that make it an attractive option for those seeking debt consolidation assistance.

Consolidation Help

One of the key advantages of Debt Consolidation Care is the array of consolidation options it offers. The company provides information on debt consolidation programs, debt consolidation loans, credit card consolidation, debt relief services, debt settlement, and payday loan consolidation. By utilizing debt consolidation, individuals can consolidate multiple bills into a single monthly payment with a potentially reduced interest rate.

The website provides comprehensive information on how to apply for these programs, what to do before applying, and the specifics of each consolidation option. Debt Consolidation Care claims to help customers lower their monthly payments and interest rates on their unsecured debts, waive late fees, and reduce the number of collection calls.

Furthermore, Debt Consolidation Care also provides information on a do-it-yourself consolidation program, which helps consolidate multiple credit card bills. This feature offers flexibility and empowers individuals to take control of their debt consolidation journey.

Debt Consolidation Care Steps

To ensure a smooth debt consolidation process, Debt Consolidation Care outlines a series of steps that customers can expect to follow:

• Free Counseling: In this initial step, Debt Consolidation Care reaches out to customers via phone to discuss their current financial situation. A counselor reviews the case and determines the best consolidation and debt repayment plan.
• Introductory Session: A financial coach assists customers in setting up a client portal, listing out all their creditors, debts, and interest rates. The coach also helps customers prepare a monthly budget plan. At this stage, customers are assigned a Client Relationship Manager who will guide them throughout the process.
• Debt Resolution: In this phase, the Relationship Manager negotiates with the customer’s creditors to reduce the interest rate. They also work to prevent collection harassment.

These steps aim to provide customers with a structured approach to debt consolidation, ensuring they receive personalized support and guidance throughout their journey.

Educational Resources

Debt Consolidation Care places a strong emphasis on educating customers about debt management and consolidation. In addition to free counseling with certified counselors over the phone, the company offers a wealth of educational resources through articles, an online dashboard, financial infographics, consolidation calculators, forums, and videos. These resources empower individuals with the knowledge needed to make informed decisions about their financial situation and debt consolidation options.

The Bad: Eligibility Requirements, Lacks Fee Information, Not Well-Accredited, Lacks Outside Feedback, Poor Live Chat Feature

While Debt Consolidation Care has its positive aspects, there are some drawbacks and areas of concern to be aware of.

Eligibility Requirements

To be eligible for Debt Consolidation Care’s debt consolidation program, individuals must meet certain criteria. These requirements include having a good credit score, a source of monthly income, and not having excessively low existing dues. Meeting these criteria may limit the availability of the program for some individuals.

Lacks Fee Information

One significant drawback is the lack of transparency regarding fees. Although Debt Consolidation Care states that debt counseling services are free, the website does not provide detailed information about other potential fees, such as monthly fees, cancellation fees, or late fees. Additionally, the company does not specify if its consolidation services are backed by any satisfaction guarantee. The absence of clear fee information raises concerns about the overall cost of using Debt Consolidation Care’s services.

Not Well-Accredited

While Debt Consolidation Care holds IAPDA accreditation, the company does not provide information about whether its consolidation services are fully compliant with Federal Trade Commission (FTC) regulations. Moreover, Debt Consolidation Care does not disclose any accreditation with respected organizations such as the International Organization for Standardization (ISO), the Financial Counseling Association of America (FCAA), or the American Fair Credit Council (AFCC). The lack of additional accreditations may raise questions about the company’s credibility and adherence to industry standards.

Lacks Outside Feedback

Despite being in business since 2004, Debt Consolidation Care has minimal outside feedback or reviews from customers in reliable publications. While the company’s website features a section dedicated to customer testimonials, the presentation of these testimonials is confusing and lacks clarity. The scarcity of independent customer reviews may make it challenging for potential clients to evaluate the effectiveness and reliability of Debt Consolidation Care’s services.

Poor Live Chat Feature

Debt Consolidation Care offers a live chat feature for customers seeking immediate answers to their questions. However, this feature is reported to be buggy and often malfunctions. A malfunctioning live chat feature can be frustrating for users in need of timely assistance and support.

Debt Consolidation Care BBB

Debt Consolidation Care currently holds an A+ rating and has been accredited by the Better Business Bureau (BBB) since 2008. While this may initially seem like a positive indication of the company’s reliability, it is important to note the absence of customer reviews and complaints on the BBB platform. The lack of feedback and testimonials from customers raises concerns about the transparency and overall satisfaction of Debt Consolidation Care’s services. Without the ability to gauge the experiences and opinions of past clients, potential customers are left in the dark, making it difficult to assess the true effectiveness and credibility of the company.

FAQs

1. Is Debt Consolidation Care a Scam? How Can I Trust Their Services?

Answer: Debt Consolidation Care is a company that has been operating for several years, providing debt consolidation services to individuals. While there are some positive reviews and testimonials, it’s important to note that there are also mixed opinions about the effectiveness of their services.

Some individuals have reported successful outcomes and improved financial situations, while others have expressed dissatisfaction with the results or encountered challenges during the debt consolidation process. Before choosing Debt Consolidation Care or any other debt consolidation service, it is advisable to research and consider multiple options, read customer reviews, and consult with financial professionals to make an informed decision based on your specific needs and save money.

2. Will Debt Consolidation Care Negatively Affect My Credit Score?

Answer: Debt Consolidation Care’s debt consolidation program may have both positive and negative effects on your credit score. On one hand, consolidating multiple debts into a single payment and making consistent, timely payments can demonstrate responsible financial behavior and potentially improve your credit score over time.

On the other hand, during the initial stages of the program, your credit score may temporarily decrease due to the closure of individual accounts and changes in your credit utilization ratio. It is important to weigh the potential short-term impact on your credit against the long-term benefits of debt consolidation and decide if it aligns with your financial goals.

3. Can Debt Consolidation Care Help Me Avoid Bankruptcy?

Answer: Debt Consolidation Care offers a debt consolidation program as an alternative to bankruptcy for managing and repaying debts. While it may be a viable solution for some individuals, it is important to recognize that debt consolidation is not a guaranteed method to avoid bankruptcy.

The effectiveness of debt consolidation depends on various factors, including the individual’s financial situation, the debt amount, and creditor cooperation. It is advisable to consult with a bankruptcy attorney or financial advisor to explore all available options and determine the best course of action based on your specific circumstances.

4. How Does Debt Consolidation Care Handle Communication with Creditors?

Answer: Debt Consolidation Care assigns a Relationship Manager to handle communication with creditors on behalf of clients. While they strive to establish effective communication channels and negotiate with creditors, the outcome can vary depending on the willingness of the creditors to cooperate.

Some creditors may be more receptive to negotiation and offer favorable terms, while others may be less willing to make concessions. It is important to have realistic expectations regarding the negotiation process and understand that the final outcome depends on various factors outside of Debt Consolidation Care’s control.

5. Will Debt Consolidation Care Stop Collection Calls and Harassment?

Answer: Debt Consolidation Care aims to work with creditors to reduce collection calls and harassment. While their efforts may lead to a decrease in such calls over time, it is important to note that the level of success may vary. Some individuals may experience a significant reduction in collection calls, while others may still receive occasional calls.

Debt Consolidation Care’s ability to stop collection calls and harassment depends on the cooperation of creditors and their adherence to applicable laws and regulations. It is advisable to maintain open communication with Debt Consolidation Care and promptly report any instances of continued harassment for them to address the issue.

6. Can Debt Consolidation Care Help Me Consolidate Payday Loans?

Answer: Debt Consolidation Care offers assistance with payday loan consolidation, but the effectiveness of the program may depend on individual circumstances. Payday loans often come with high-interest rates and short repayment terms, making them challenging to manage. While debt consolidation may provide a solution for some individuals, it is important to carefully evaluate the terms and conditions of the consolidation program.

Payday loan consolidation may not always result in significant interest rate reductions or favorable repayment terms. It is crucial to assess the potential benefits and drawbacks before committing to the program.

7. Will Debt Consolidation Care Provide Me with a Loan to Consolidate My Debts?

Answer: Debt Consolidation Care’s services primarily focus on negotiating with creditors to develop a debt repayment plan rather than providing loans for debt consolidation. While they may refer individuals to affiliated partners or lenders for loan options, it is important to carefully evaluate the terms and conditions of any loan offers.

Debt consolidation loans may come with their own set of requirements, fees, and interest rates, and they may not always result in significant savings or improved financial stability. It is advisable to consider multiple loan options, compare terms, and consult with a financial advisor before making a decision.

8. What Happens If I Default on the Debt Consolidation Care Program?

Answer: Defaulting on the Debt Consolidation Care program can have serious consequences. If you are unable to make the agreed-upon payments, it may result in the termination of the program and potential legal actions by creditors. Defaulting can negatively impact your credit score and may result in increased collection efforts and additional fees.

It is crucial to assess your financial situation realistically and only enroll in the program if you are confident in your ability to meet the repayment obligations. If you anticipate difficulties in making payments, it is important to communicate with Debt Consolidation Care promptly to explore alternative options and avoid default.

9. How Long Does the Debt Consolidation Care Program Typically Last?

Answer: The duration of the Debt Consolidation Care program varies depending on individual circumstances, including the amount of debt, interest rates, and the individual’s financial capabilities. While Debt Consolidation Care aims to provide a structured repayment plan, the actual duration of the program can extend beyond the initial estimates.

It is crucial to be prepared for a potentially extended repayment period, as it may take several years to fully repay the consolidated debts. The program’s length is influenced by factors such as the individual’s commitment to making payments, creditor cooperation, and any unforeseen financial challenges that may arise.

10. Can Debt Consolidation Care Help Me Build Better Financial Habits?

Answer: Debt Consolidation Care’s program aims to assist individuals in managing their debts and providing educational resources on financial management. While they can offer guidance and support, ultimately, the development of better financial habits relies on the individual’s commitment and willingness to make necessary changes.

Debt Consolidation Care’s educational resources can provide valuable information and strategies, but implementing and sustaining those habits is the responsibility of the individual. It requires discipline, budgeting, and a proactive approach to financial decision-making. Debt Consolidation Care’s program can be a starting point, but long-term financial success depends on individual commitment and perseverance.

Conclusion: Making an Informed Decision

Debt Consolidation Care presents itself as an online platform offering debt consolidation assistance and resources. While the company provides valuable consolidation options, educational resources, and a structured debt consolidation process, there are significant concerns regarding the lack of transparency regarding fees, limited accreditations, minimal outside feedback, and a malfunctioning live chat feature.

It is crucial for individuals seeking debt consolidation services to conduct thorough research, compare various options, and consider reputable companies with a proven track record. While Debt Consolidation Care may be a viable choice for some, exploring other well-established and highly regarded debt consolidation providers could lead to a smoother and more reliable experience.

Remember, getting out of debt requires careful consideration, financial discipline, and the assistance of a trustworthy partner. It is advisable to consult with financial professionals, explore multiple options, and make an informed decision based on your specific circumstances.