Listed below are questions clients ask us frequently. If you can't find the answer to a question you have or you would like to know more details, please feel free to contact us using the form.
A debt management plan (or DMP) is a structured repayment plan facilitated by a credit counseling agency. Most creditors will provide benefits, including a reduce interest rate and affordable monthly payment, in exchange for working with a credit counseling agency.
Is this the same thing as a consolidation loan?
A debt management plan is not a loan. You simply make a single payment each month which is dispersed to all your creditors. You will continue to receive monthly statements from each of your creditors.
Will you talk to my creditors?
All of our counseling sessions are completely confidential. We will only contact your creditors if you decide to begin a DMP, in order to set up your repayment plan.
Should I tell my creditors I'm starting a debt management plan?
Yes, you can. It is also very helpful to request that they change your due date to coincide with the payment date you have chosen for your DMP. To avoid potential conflicts, we ask that this date be moved to 14 days after your new MMI due date, if possible.
When will my creditors be notified that I have joined a debt management plan?
After MMI has received your first month’s total deposit your creditors will be notified of your debt management plan. At that point we'll send a proposal request for a lowered payment and reduced interest rate based on individual creditor policies.
When do I stop paying my creditors directly?
Keep paying each creditor by the required due date until you receive confirmation that each account has been successfully set-up on the DMP. However, if that's not possible, you may decide to stop paying your creditors once you've made your first payment to MMI. Keep in mind that this could result in a late fee from the creditor and possible credit reporting repercussions if they have not yet adjusted your terms.
When do my creditors stop calling me?
Generally, the calls should stop as accounts are officially accepted onto the program. However, there may be some delays, and if you're still receiving calls after the first month of your DMP, you should connect with our Support department to review your file.
What if I have automatic payments set up with my creditors?
Although we're administering your debt management plan, we're still a third party. Automatic payments can only be canceled by the account holder and should be done immediately after joining. You can do this by calling the creditor’s customer service number.
How do I know if a creditor has accepted the proposal for my debt management plan?
You can monitor your proposal statuses in several ways; by registering on MMI’s website and going to your file or by reviewing your monthly MMI statement. Some creditors prefer to inform their customers rather than MMI when a proposal has been accepted, so we ask that you let us know when they respond.