What is non-profit debt consolidation? Many times, we consumers listen to commercials on the radio talking about companies that are more than willing to take over management of your credit and you will only pay pennies on the dollar.
These consolidators actually work for the credit card companies. Credit card companies know that they are better getting some of your money as opposed to getting none of it at all. So what they will do is that they will send one of their agents to you who will come up with a payment schedule for your debts to the credit card company. There is very little profit in this and hence the name non-profit debt consolidation. They do, however, experience a cash loss as a result of working with you.
If you take this route as opposed to bankruptcy, you are able to save your credit. Taking on non-profit debt consolidation, however, is a long road back to get your credit score back to acceptable margins.
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