The Debt Management Program is the first step to becoming debt free. CCS will negotiate a repayment schedule based on your situation as well as the requirements of your creditors. While on this program it is compulsory not to acquire any further debt, as we know as well as you, the last thing you need is more credit. There will be a small fee assessed for administering your program. Our Debt Management Program is supported by all major chartered banks, credit card companies, credit unions, finance companies and many other creditors. Once per month, clients make a payment to CCS, who will then disburse it amongst the creditors. In some cases, the creditor may reduce or stop the interest to help the client see that light at the end of the tunnel.

HOW DOES DEBT MANAGEMENT DIFFER FROM BANKRUPTCY

Debt management is designed to be an alternative to bankruptcy. It sets your sites on getting out of debt, by allowing you to pay debts in smaller amounts over an extended period of time. Bankruptcy should be considered a last resort as the consequences are long term affecting not only your credit but your ability to obtain such things as: insurance, a job, and your home. By contacting a certified credit counsellor they can determine the best solution for your situation.

FREQUENTLY ASKED QUESTIONS

1. Am I eligible for your services?
   
   CCS serves anyone who needs advice on how to manage money, as well as reduce or eliminate debts. There are no limits on age, sex, race, color, creed, or income level.
   
   
2. Will my credit be affected by the Debt Management Program?
   
   Your credit may or may not be affected by the Debt Management Program. Your creditors will report that you are making monthly payments on the accounts, even though it may not be the minimum that they originally required. The extent of the damage will also depend on your payment history through CCS as well as the length of time it takes you to repay the debts.
   
   
3. Will my creditors continue to contact me after going on a Debt Management Program?
   
   Once the creditors are contacted in writing by CCS, they will generally contact us for any details or information they may need about your file. If you continued to receive phone calls refer them to CCS.
   
   
4. How will I know that my payments are being applied to my accounts?
   
   You may contact your creditors directly at any time to confirm that payments are being applied to your accounts. You will also have access to your account online via username and password which will show your payments and the progress you are making with each of your individual creditors. If you do not have access to the internet, CCSAC will mail a quarterly statement to you if requested.
   
   
5. Will the creditors stop the interest while I am on the program?
   
   When we send the proposals out to your creditors, we will ask them to stop or reduce the interest for you in order to help you see that there is a light at the end of the tunnel. The creditor is not under any obligation to do so, but many have been working very well with the program and doing something to help out.
   
   
6. How long will my program last?
   
   When working with your counsellor, they will determine the approximate length of time that it will take you to be debt-free. The exact length of time that your program lasts will depend on many factors, which include;
   -Whether or not your creditor has stopped or reduced the interest,
   -If all payments are made up to date and on time,
   -If there are any extra payments applied to the account,
   -As one creditor is paid in full, the payments to your other creditors will increase.
   
   
7. Am I allowed to pay extra on my accounts while on a DMP?
   
   You may pay extra on your DMP at any time. You may add extra each month, or you may make lump sum payments. We strongly recommend that you pay more than the regular amount whenever you are in a position to do so, as this will retire your debts sooner than first anticipated.
   
   
8. Are there any penalties for making lump sum payments? And are all payments to be made through CCS?
   
   There are no penalties charged for making lump sum payments on your account, or if you pay the program off in full before the designated time. By making all payments, this ensures that we maintain accurate and up to date balances on each of your accounts as well as allowing us to notify the credit reporting agencies at the end of your program that you have successfully completed your program through our agency.

If you feel you may need our assistance and would like to contact us for a confidential review of your situation, please go to our FINANCIAL AWARENESS FORM.