Delray CC - BEWARE - WASTE OF MONEY
Beware of Delray Credit Counseling! When I first called them, I told them I didn't want to do this if it impacted my credit score negatively. They swore up and down that it wouldn't and it would actually increase my credit score within the first few months of using them. What a lie. So I gave them my credit card info and they said I just start paying them, instead of my credit card companies and that they add one $25 fee (I had 3 cards) and they contact the credit card companies and negotiate a lower interest rate, which would allow me to pay off my cards fast and pay less in the long run. They also said once I start paying them, I don't have to make payments directly to my credit card companies anymore. WHAT A LIE! What they don't tell you is that they charged me $40+ per month for their service, the first payment which is significantly larger (2 times the normal) is a 'downpayment' which you do not get back unless you pay off all of your cards through them, so if you stop using their service prior to paying off your cards you do not get this money back, for me it was about $600+ dollars. They also assured me that I can stop using there service at anytime with no issues or charges to me, which was a lie, because they kept my $600+. So I stopped making payments to my credit card company once I started paying DCC. Well, they don't inform you that the first payment is the down payment which they do not apply to your credit card company, and then the second payment (in the 2nd month) will not be applied to your credit cards until a month after you paid DCC. This meant that it was 3 months after I started paying DCC that they finally made the first payment to my credit card companies!!! I called DCC and complained because now all my credit cards were past due and deliquent! DCC response was, 'you don't need to worry, because after I pay off all my debt through them, my credit score will be increased'... well duh, but in the mean time I didn't want it to go down! So I called my credit card company and explained what happened through DCC and my credit card company told me there is no reason for me to pay through DCC, as ALL CREDIT CARD Companies offer their own Debt Management services, where if you close the account (which you have to do anyway with DCC) your interest rate will be lowered and they don't charge you a fee every month. I called DCC and told them what my credit card company told me and explained I wanted to close my account with DCC. The DCC customer representative was very offended and got defensive and started spewing more lies... Telling me that if I stopped using DCC my credit card company would be unhappy and immediately charge me a large fee as well as sky rocket my interst rate. So I called my CC company and asked if that was true, they said IN NO WAY, the DCC was just trying scare me into not cancelling my account. When I cancelled they explained that the first payment I made I would not get back, they steal it and I say steal because they never told me they would keep that money. They say its in there 'terms' but if you go to their website you can not find their terms and when I enrolled with DCC they never sent me any information, they only send you their 'terms' if you specifically request it, and I did, and NEVER received it! They are a complete waste of time and money, they lie to you so you enroll and pay, then they got you. Even if you cancel they still get to keep your money! If you want to use a Credit Counseling service, call your Credit Card Company first and tell them you want to use their Credit Counseling SErive or Debt Management Service and they will close your account and lower your interest rate for free! Just a note: either way, there send this info to your Credit History so there is a note stating you are enrolled in a debt management program which can prevent you from getting other credit cards or loan, but lets face it, if you need to do debt management, you probably shouldn't be applying for more credit cards or loan!
Lesson of the story - always research before you buy. or enroll If it sounds too good to be true, that's because it is!!!