debt consolidation

[Anonymous]

My husband has his credit cards in a debt consolidation program. Two of the credit cards were settled and paid off quickly. The third one is not going so well. They have it set up so he pays a certain amount each month and they put the money in a fund. They then try to get the credit card company to accept a settlement but so far the credit card company has not taken the offer. The amount due is now with a collection agency and I dont see them settlling anytime in the future.

My husband has taken the view that there is nothing he can do about it. I feel that the debt program should be able to offer him other options like pay the agency monthly instead of holding all the money for one lump sum. My husband is paying them a fee each month to handle this and they are doing nothing.

Anyone have any suggestions?

[marty56]

Welcome to the forum  You need to terminate the program and ask for the money they are holding for you back since the account went into collections so the credit card company has nothing to do with it anymore. 

You can now try to do what is called a Pay For Delete (PFD) with the collection agency.  There are many smart people here who have done this so please read about it in the forums. 

Your husband needs to start rebuilding his credit once the collection is taken care of.  There is also a lot of information in the forums here on how to do this.  it wil take some time, but if he works hard on his credit, you will get through this okay.  Just keep hanging out here.