Consumer Credit of Des Moines

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Consumer Credit of Des Moines

• Whether you are looking for debt consolidation,
  an alternative to bankruptcy, or money management
  tips, we have a positive solution to your
  financial problems.
• Tom Coates

Iowas Largest Credit Counseling Agency
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Consumer Credit of Des Moines

• EACH MONTH WE
• ? See Over 500 New Clients
• ? Serve Over 5000 Existing Clients
• ? Send Over 4 Million to Creditors

Iowas Largest Credit Counseling Agency
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Good or Bad?
Cars
Fishing
Neighbors
Big Macs
Shopping
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Credit Cards Can Be Good or Bad.
Depending on HOW you use them
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What does credit mean?
To be believable
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What you do with credit is like leaving
footprints in wet concrete
My Credit Report

• Lasting results for 7-10 years!

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If Your Credit Is Bad...

• You may not be able to buy a house or
• get a car

? You may not be able to get a credit card or
personal loan
? You may not be able to get a student loan

• You may pay higher interest rates

? You may pay higher insurance rates
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Common Thinking

• ? I will take all I can get

? If I can get it, I can afford it
? If I can afford it, it is a need, not a want
?Whoever offers me credit knows I can repay it
Mr. Average American
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Mr. Average American

• Has four times the access to credit as 10 years
  ago with less ability to repay

Spends more than he makes and uses credit cards
to balance the shortfall
Buys 34 more with each retail cc purchase and
thinks of his credit cards as money
Uses 6-8 credit cards and carries a 4200
balance
Borrows against retirement or house to pay
credit cards
Has no money in savings now and no plan to
save in the future
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Common Traps
Potential of getting credit
Perception in using credit
Payments we make
Practice of borrowing
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Common Trap 1
Potential of getting credit
5 billion mail solicitations per year
4 times the access to credit with less ability
to repay
College students are the targeted market
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Common Trap 2
Perception Of Credit


CREDIT DEBT
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Common Trap 3
Payments We Make
1000 credit for Christmas
Pay off _at_ 20 per month
9 years with 800 interest
3000 _at_ minimum payments
13 years with 2600 interest
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Common Trap 4
Practice of Borrowing
To dig a hole to fill in a hole is not wise!
Neither is borrowing to pay credit debt!
Why? gt Debt is transferred, not paid off gt
Unsecured vs. secured gt Puts nest-egg at risk gt
Debt returns in 3 years
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ABCs Of Paying Credit Off Fast
Always pay the amount you are presently paying
until the debt on that cared is gone.
Be prepared to shift payments of paid off cards
to other card payments.
Cancel the cards so you are not tempted to charge
more while you are paying them off.
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The ABC Method
Balance Minimum Discover
1275 28 First
USA 3150 65
Penneys 745 20
Sears 560
16 MBNA
1230 26 Citibank
880 20
Younkers 220 25
8060
200
Declining Minimum Payments 25 Years
Consistent 200 Payments 6 Years 4 Times
Faster 7000 Interest Saved
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CLIENT
CREDITORS
Consumer Credit
Benefits of a Debt Repayment Program

• Lower payments
• Reduced interest
• Stop late/over limit fees
• Stop calls
• Re-aging
• Debt paid off 5-25 times faster