FREQUENTLY ASKED QUESTIONS (FAQs)
Below is a list of the most frequently asked questions. If you are unable to find any specific information you may be interested in, contact Debt Managers and a representative will be more than happy to assits you.
Is DebtManagers® a bank, trust company, or other type of loan company? Do you make loans?
No. We provide a Debt Management Program (sometimes referred to as a DMP) rather than a loan.
What is a Debt Management Program?
One of our expert counsellors will confidentially assess your present financial position with you, either in person, on-line, or over the telephone. Your personal credit counsellor will work with you to prepare a budget and arrange to deal with your creditors. Then the company will help you manage your debts on an ongoing basis by collecting one, single manageable payment per month from you (or two, depending on your personal cash flow) and distribute it to your creditors.
Will my creditors stop telephoning me? Harassing me? Hassling me at work or at home?
In virtually all cases your creditors will be more than happy to deal with our credit counsellors and file managers, and will generally cease all collections activity as long as you maintain your Debt Management Program.
Is your Debt Management Plan a Consolidation Loan?
No, though the results are very similar. With our Debt Management Program, you are responsible for a single monthly payment to cover all of your outstanding debt payments, and the result is a lower payment than you are currently making to you creditors. We will also support you with credit counselling, so that you can get debt-free and stay that way.
What if I change my mind after I start the program? Is that allowed?
The Debt Management Program and Credit Counselling is a voluntary program both on your part and on the part of your creditors, however, creditors tend to view your participation in a Debt Management Program in a positive light as it demonstrates a sincere effort to repay your debts. Generally, creditors recognize that our Debt Management Program and Credit Counselling is a positive indication of this effort, and as long as payments are made under the Debt Management Program, will not take any other collections activity.
Also, if you enter into an agreement to start the Debt Management Program your credit rating may be affected, as creditors may notify the Credit Bureau that you have entered into an arrangement, and file an R7 rating on your file. Even if you change your mind, your creditors may not be willing to change your rating back to what it was before you started. It is important that you fully understand that the Debt Management Program is a serious commitment, as backing out of it may make it difficult or even impossible to restore your credit rating to what it was before you started on a Debt Management Program. If you are not sure that the Debt Management Program and Credit Counselling is for you, or that you are genuinely committed to completing the program, it is important that you don't make an agreement that could come back to cause you problems later.
What about garnishee orders or judgments?
Contact your credit counsellor for assistance in dealing with the creditor, in many cases a DMP will forestall action on a judgment or garnishee order, and your File Manager may be able to negotiate an arrangement that will satisfy both you and your creditor to eliminate legal actions. If you currently have judgments or a garnishee order, call our 1-800-774-5779 toll free number and talk to one of our counsellors. The counsellor may be able to help immediately.
Will a Debt Management Program affect my credit rating?
In some cases, as it depends on where you are at right now. About 50% of people already have this rating and don’t realize it.
Your creditors will rate your accounts with an R7 rating with the Credit Bureau, which indicates that you have entered into a voluntary arrangement to make payments.
Will I get my good credit rating back?
Yes. Three years after completing your Debt Management Program, the R7 rating will disappear.
What Makes You Unique? Why not go with a non-profit?
Simply put: Creditors are more willing to lower payments, stop collection agencies from calling, freeze, reduce and or even waive interest rate charges for our Clients and accept more proposals from Debt Managers than any other.
Pay it Forward Fully and Faster.
Clients on our Debt Management Program repay 100% of the debt owed to all their Creditors in an average of 4 to 5 years compared to an average of only 30% repaid to creditors on other debt repayment programs. Our Clients take great pride in paying their debts fully and in the end, restore their credit faster.
Are your advisors commissioned sales people?
No. With other debt poolers, it may feel like you just walked into a used car dealership. Not at DebtManagers. You’ll be glad to know NONE of our Call Centre or Account Managers are commissioned sales people. Our seasoned debt managers are here to provide you with free, sound advice, to review your options with no obligation or pressure to join. We would never make false claims or force anyone to join a program that you would not benefit from. Take your time. When you are ready, we’ll be here for you.
Are you a Canadian company? Whats the advantage?
Yes. As a 20 year old, well-established and 100% Canadian owned debt pooler, our extensive network of national and regional creditors means we are able to negotiate the best possible debt repayment proposal on your behalf. That means lower monthly payments that offset administration fees - and leave money left over so you can live your life.
I want someone who will work with me, not just take my application. Do you offer that?
Yes! At DebtManagers we assign seasoned and professional Personal Debt Managers to every Client who joins the program. This means we remain in constant contact with you throughout your entire debt repayment program providing you with a greater sense of comfort knowing there will always be someone there who will respond to your needs, answer your questions or help you make informed changes to your Program. Others may assign you "volunteers" who despite all their best intentions simply do not have the same experience, training and focus that we do. After all, when you succeed, we succeed.
Can I make changes myself or am I forced to call in everytime?
We offer all clients "Anytime. Anyplace. Anywhere" Access through ClientCare. At sign up we provide you with free, confidential 24/7 access to your Account so you can check balances, track payments, update addresses and even make temporary payment changes. Transparency, security, reassurance, control and flexibility. Something others do not provide.
I love your service! Do you have a Refer a Friend program?
Absolutely! Refer a Friend or Family member who may need our help and if they join and stick with our program we’ll credit $100 towards your next installment or pay you cash*. Plus there is no upper limit. Refer 10? Get $1000!
Whats the difference between you and Non-Profit Societies? How can I be assured you are acting in my best interests?
With nearly 20 years of experience we know what is best for our clients - and what is not. That is why we do not offer Consolidation Loans, Pay-Day Loans or Debt Settlement. After all, there are better ways to reduce debt than getting into even more debt. Our Debt Management Program is also structured in such a way so it ensures we remain impartial and impervious to large creditor influence. That means your best interests are always our top priority. It may come as a surprise to many to learn that some "Non-Profits" appear charitable or "free" by not charging fees but readily accept "kick-backs" as high as 22% from preferred creditors. This ensures certain creditors are paid-back ahead of the rest regardless of debt load and interest rates. We feel such preferential treatment puts Non-Profits in a conflict of interest position by placing the interests of creditors ahead of yours.
Are you dependable and reliable?
As we approach our 20th Anniversary next year, nothing says "safe, dependable, secure, reliable" than longevity - unless of course it’s our A+ rating* with the BBB or our licenses in good standing with Consumer Protection BC and Service Alberta. Be sure to check and compare before you decide.
What social responsibility programs do you offer?
We Give Back. Our Corporate, Social and Caring Responsibilities reflect who we are and what we do. It extends to not only our valued clients but also the communities in which we are privileged to live and serve across this great nation. Through targeted charitable giving, active employee volunteerism and free online educational programs, seminars and tools - we not only provide help for those in debt - we also focus on the less fortunate, the vulnerable and those on limited incomes.