I know you have seen the commercials for these credit management companies that promise to help you get rid of your debt. They always have those cheesy commercials with a family describing their dire situation and how this company came in and saved the day. My question is, do they hurt more than they help? I recently ran into an example of how they can hurt you..pretty bad in fact. A couple came into my office to get pre-qualified and when I ran their credit a couple of issues popped up. They had several 30, 60, and 90 day lates on bills that were being paid by a credit management company. Each month the couple would pay this company and they in turn would pay down the bills. The credit company told the couple that they had negotiated new terms with the creditors and would handle the monthly payments. What they don't tell you is that they are only paying a portion of each bill each month. Only receiving a partial payment, the company records this as a late payment. The couple I was working with had no idea this was happening and it almost cost them their mortgage. I have no idea if this is how all of these companies work, but I am willing to guess they do. Be weary when you or your client is working with these companies..if it is too good to be true then it probably is.