Why should I choose Priority Capital?
Let’s get straight to the facts. Our credentials speak volumes. Our face to face credit counselors hold multiple certifications including but not limited to, Certified Debt Specialist, Certified Student Loan Specialist and Certified Credit Counseling Specialist with the NACCC and IAPDA in order to effectively educate our valued clients, helping guide them to a better financial future. Our team has been assembled with one priority in mind, to become a leading innovator in the face-to-face debt resolution arena for our valued clients.
What happens when I enroll in the Priority Program?
Priority Capital provides representation to all of your enrolled accounts through our “Limited Power of Attorney” which clients authorize with the signing of their Client Service Agreement. Once they have been successfully enrolled into our program, our client services team gets to work. While your money builds in your savings account used to negotiate with your creditors and their representatives, we field the creditor correspondence you forward us in our mail room, searching to identify the best opportunities for settlement. Of course this process takes time as you MUST become fully delinquent in order to receive a settlement. While this occurs our doors are always open and Priority clients often visit their representatives at our offices for program updates, financial advice or to drop off paperwork. Our doors are always open to you.
What happens when I receive a settlement?
Normally it takes AT LEAST 6 months to reach your first settlement. There are two reasons for this. (1) You need funds to build up in your savings account to make a settlement. (2) You must become fully delinquent on your account in order for a creditor to settle with you. When a settlement is reached by Priority, you are contacted by the negotiator working on your file, and the transaction is approved by you before the account is formally settled. Paid settlements usually reflect a zero balance on your credit report. We settle each account in a domino effect until the entirety of your enrolled debt is settled at which point you are graduated from the program. With the educational resources we provide along with our debt relief program, we aim to help you keep it that way for good.
Will I still receive creditor phone calls?
All creditors reserve the right to attempt to collect on a debt and initially we fully expect your creditors to contact you. This can be unnerving for some clients and we totally understand that nobody wants to receive these kinds of calls, but you have to remember the alternative may be staying in debt indefinitely. In our view that is no alternative. While we help you navigate this initial phase of the program, we will be here to help educate you on your rights as a consumer, teaching you how to use federal law such as the Fair Debt Collections Practices Acts- FDCPA and the Fair Crediting Reporting Act- FCRA to help curb creditor harassment and misreporting. Keep in mind that once your account has been transferred from the original creditor to a third party, it quickly becomes an easier process for us to reduce and eliminate creditor phone calls.
Does all of my debt have to be included?
No, but we recommend it. This is especially the case if you have severe revolving credit card debt. Still we will assess your personal debt situation and give you a thorough breakdown, from most severe to least severe revolving credit debt. We assess where you are cross-collateralized and attempt to de-collateralize certain accounts where you wish to keep cards and/or bank accounts open. In many cases we have clients that wish to keep a card outside of the program in case of an emergency. As long as it seems to be a reasonable card for exemption, we understand the utility of keeping that lifeline as long as possible.
What effect will settling my debts have on my credit?
First you should ask yourself, “Am I planning on purchasing a large ticket item or financing a personal asset in the near future?” If you answered “no”, a reduction in your credit score should not change your lifestyle. You should also know that revolving credit card debt, even with timely payment to your creditors, decreases your FICO score at a slow but consistent rate if not corrected. This is because your debt-to-income ratio is a major component of your FICO score. This program will expedite a process which may be already occurring if you have revolving credit debt. On average clients may see a significant decrease in their FICO score. The good news is that once you start to receive settlements from your creditors, these settlements aggressively pay down the principal of your debt, drastically improving your DTI ratio. As the program matures you will be in a much better position to permanently repair your credit rating. FICO scores generally trail DTI’s and this means that once your DTI improves through successful negotiation of your revolving credit card debt you may have the opportunity for true organic growth once again. Priority calls this the “Destroy and Rebuild Effect”.
How much does the program cost?
If you would like to calculate your payments over the life of the Priority Program, use this simple formula. Your level monthly payment amount (ex. $600.00) multiplied by the number of months you are estimated to be in the program (ex. 36 months). $600 X 36m. You will never write a check to Priority and we do not accept funds directly, instead you will put aside monies in your secured escrow account as a part of your savings plan to eliminate your debt. Our fees for services are built into your monthly program payments and collected in structured installments during the course of your program. With our program fees included, we provide our clients with a “limited performance guarantee” and a reduction in the principal of the enrolled debt after fees have been applied. Our program fees cover all services provided by Priority. In other words your Priority package is ALL INCLUSIVE with your selected monthly payment. Simple.
By becoming delinquent, will I receive interest and late fees?
Yes, this is unavoidable. Priority Capital and no other debt negotiation provider can stop this from occurring as your accounts become delinquent. With this in mind, we estimate that most accounts can be settled for about half before fees are applied. It’s important to provide a reasonable estimate when dealing with a consumer’s financial affairs. Most importantly we are professionals who want to make sure the program works for our clients, and that it works well. Budgeting is everything when trying to eliminate revolving credit debit. It’s crucial that your monthly payment amount is affordable to you. If we misquote your program cost it could jeopardize your ability to be as successful as possible through our services, and that is certainly not an option.