What are the advantages and how does a debt management plan work?

A Debt Management Program is for people that are experiencing financial difficulties or will soon fall behind. Under this program creditors often reduce or eliminate the interest in order to help you get out of debt. Your monthly payment can be up to 30 percent lower than what you are currently paying. Many creditors will also reduce or completely eliminate late fees and bring your account current, even if you are now behind.

• Reduce interest and payment amounts
• End collection calls
• One convenient payment
• Avoid bankruptcy

How is my money handled?

Pioneer Credit Counseling will receive a lump sum payment from you each month and pay your creditors based on the arrangements established with them until your account is paid in full. As your smaller debts are paid, a higher percentage of your payment will go towards your larger debts.

How will this affect my credit report?

Generally people do not contact Pioneer Credit Counseling until they are in financial trouble. If a person has already fallen behind on his or her bills then your creditors are already reporting negative information about you to the credit bureaus. Furthermore, when we begin to help it will show that you took a responsible step towards solving your financial difficulties. However, Pioneer Credit Counseling does not report information directly about you to the credit bureau and we cannot make changes to your credit bureau report; past, present, or future. Some of your individual creditors may report that you have gone to a Debt Management Program. When Pioneer Credit Counseling begins to assist you with their program, some creditors will report your account as current while you are making payments through your Debt Management Program. A few may not report your account current or will report your account current upon successful completion of your Debt Management Program.

I have enrolled in the program and my creditors have not received a proposal.They are still calling, what should I do?

You need to let your creditors know that you have enrolled in Pioneer Credit Counseling's Debt Management Program and ask them to call 800-311-9537. If your creditors are unable to contact Pioneer Credit Counseling, ask them for their name and number then contact us with that information. We would be able to issue a proposal to them immediately if they did not receive the initial proposal that was submitted. It may take up to 30 days for some creditors to update information on a proposal. Please be patient with this process.

What do I do if I receive a statement that reflects late charges, over limit fees, etc.?

Call Pioneer Credit Counseling's home office with the information in hand. So, when you talk to one of Certified Client Care Representatives, you can give the exact dates of these changes. The creditor wants to make sure that you are sincere about the Debt Management Program.

Do I need to send my payment if I have not received my monthly activity report?

Yes, if the due date is coming up for your payment, and the activity report is lost in the mail or for some reason has not reached you, please mail the payment to Pioneer Credit Counseling.

How can I send a payment?

Our preferred method of payment is through the "Auto-Pay Program" whereas Pioneer Credit Counseling can withdraw a payment from your checking or savings account automatically every month on the date you specify. We also accept payments by Western Union Quick Collect or any other guaranteed form of payment such as money order, cashier's check, or checking account debit cards. Pioneer Credit Counseling does not accept personal checks due to verification time frames on this form of payment.

I am still receiving statements, what do I do with them?

You will continue to receive statements from your creditors. Please look these over each and every month and contact us if you have any questions. If everything is fine you can keep these statements for your records. This will confirm the date the creditors have received your payment through the Debt Management Program. Also, we recommend you call every 3 months to update your balances with us from your statements.