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Picture of a Credit Service Consultant Calling a credit counseling agency won’t affect your credit at all, considering that you just sought help. However enrolling in a debt management plan may affect your credit in several ways.Some creditors may report that the account is being repaid through a credit counseling agency. Any late payments or high balances on accounts will continue to affect your credit score.

Counseling Agency

But with the help of a counseling agency, you should be able to bring your account current, and that can be a plus. According to Thomas J. Fox, the community outreach director for Cambridge Credit Counseling in Agawam, Massachusetts, most major creditors will re-age your accounts after you've made three on-time payments in the required amount. Re-aging an account means it will be brought back to “current” status, so your credit report will no longer indicate that you are currently behind. Since recent late payments can really affect your scores in a negative way, being up to date on your payments while allowing the past late payments to age will have a good effect, especially over time.

Debt Management Plan

Finally enrolling in a debt management plan requires that you close all of your credit cards, which will surely lower your credit score. How much it will hurt depends on everything else in your credit reports, of course, including whether you have other open, available credit such as a car loan or mortgage that you are paying on time.
Total Credit damage: Typically moderate, fairly easy to recover

Please keep in mind that these are just general approaches to debt relief and maintaining a good credit score and precise approaches still depends on how you analyze this topic.