Worked with a nonprofit counselorCredit cardsA little over $30,000
How Shane Paid Off $30,000 in Credit Card Debt Through a Nonprofit Plan
Shane, from Charlotte, ran up a little over $30,000 in debt while between jobs and worried about bankruptcy. His bank pointed him to a nonprofit credit counselor, and he paid $300 to $400 a month for four to five years until it was gone.
Video by WSOCTV9Breakdown updated September 15, 2026
“‘Little over 30K’: A nonprofit that can help you erase credit card debt | WSOC-TV” by WSOCTV9. We didn't make this video; it loads from YouTube when you press play.
Where Shane started
Shane found himself between jobs and put basic living expenses, plus what he calls some unwise spending, on credit. His debt grew to a little over $30,000, and he worried he might end up in bankruptcy.
What Shane did
- 1
While between jobs, he used credit for everyday expenses and some spending he now regrets.
- 2
His bank suggested he talk to Money Management International, a nonprofit credit counseling agency, and transferred him there.
- 3
The agency set up a budget and worked with his creditors to lower his interest rates.
- 4
He made one monthly payment to the agency, which paid his creditors.
- 5
He paid about $300 to $400 a month, and more when he could, for about four to five years until the balance was gone.
- 6
The agency charged $39 to start and about $25 a month, which he said was worth it.
What you can learn from it
A bank referral can be a start
Shane's own bank pointed him to a nonprofit counselor. The CFPB suggests confirming that creditors have accepted a proposed plan before sending any payments.
One payment, paid out to creditors
Shane paid the agency once a month and it paid his creditors. The FTC describes debt management plans the same way: the counselor uses your deposits to pay unsecured debts like credit card bills.
Extra payments helped when possible
He paid $300 to $400 in most months and added more when he had it.
Know the fees up front
His agency charged $39 to start and about $25 a month. Nonprofit credit counseling is often free or low-cost; ask about fees first.
Be wary of fast-results pitches
The reporter warned about anyone promising to get people out of debt quickly for a fee. The FTC says the best counselors won't promise to fix all your problems or charge you money before they do anything.
In their words
“I hoped for it but it seemed so far away”
“it was weight off the shoulders”
Before you copy this path
The fees are what this agency described in 2024; other agencies and creditors set different terms. The FTC notes plans can take 48 months or more and depend on regular, timely payments.
Watch out: You may have to stop using or applying for credit, and a plan can take 48 months or more. Ask about fees first.
Find a nonprofit counselorCommon questions
Is a debt management plan the same as a debt consolidation loan?
They work differently. In a debt management plan, the person deposits money each month with a credit counseling organization, which pays unsecured debts like credit card bills according to the plan, and creditors may agree to lower interest rates or waive fees.
Source: consumer.ftc.govWhat has to happen before someone files for bankruptcy?
The FTC says a person has to get credit counseling from a government-approved organization up to six months before filing for any bankruptcy relief. A bankruptcy attorney can explain whether bankruptcy fits a particular situation.
Source: consumer.ftc.govWhat warning signs should I look for in a credit counselor?
The CFPB says the FTC has found that some organizations offering debt management plans have defrauded people. Red flags include pushing a debt management plan as the only option before analyzing someone's finances and paying employees more for signing clients up.
Source: consumerfinance.govSources
By DebtCheckUSAEditorial Team. This is our summary of a video we didn't make, and nobody paid us to include it. It's one person's experience, not financial, tax or legal advice. Advertiser disclosure
More stories
All stories
Worked with a nonprofit counselor
How Tracy Paid Off $20,000 in Credit Card Debt Through a Nonprofit Plan
After a breakup left her covering rent alone, Tracy Schultz ran up $20,000 on credit cards and couldn't keep up with the minimums. A nonprofit debt management plan worked with her creditors on one monthly payment she could afford, and she paid it all off.
Worked with a nonprofit counselor
How Lavell Paid Off Five Maxed-Out Credit Cards With a Nonprofit's Help
Lavell's debt started with a card that came in the mail when he was a teenager and grew to five maxed-out cards. A nonprofit counseling agency set up a plan estimated at about five years and got one card's rate cut from 24% to 2%; he says he's now out of credit card debt.
Worked with a nonprofit counselor
Johnika's 49-Month Debt Management Plan: Paying Off $70,000 on Eight Cards
Johnika Dreher owed about $70,000 across eight cards after furnishing a new home. Her bank referred her to a nonprofit debt management plan that lowered her rates; she finished in 49 months, paying a monthly fee under $50.
Your story starts with the whole picture.
List your debts once and see your debt-free date and which options fit. Nothing you enter leaves your browser.