Money Management International Review 2024

Pros and Cons Explained

Pros

• Expansive assistance options: No matter your debt situation, Money Management International can provide some assistance. If it can’t directly help you manage your debt with one of its plans, it can at least help you decide what to do next and where to go.
• 24/7 customer support: Money Management International staffs its main phone lines 24 hours a day, seven days a week. You can get help whenever you need it, even through live chat at some times. 
• Excellent customer ratings: Although they do exist, it’s hard to find bad reviews of Money Management International from former customers.
• Affordable debt management plan fees: Basic credit counseling is free. If you choose a debt management plan, you’ll pay based on a sliding scale. MMI will waive its fees if you qualify for financial hardship, but even if you pay the maximum rate, it’s still affordable compared to alternatives.

Cons

• No mobile app: All of Money Management International’s support is offered in person, over the phone, or through your online client portal. If you like using smartphone apps to manage your financial life, you’ll need to look elsewhere. 
• No money-back guarantee: If you’re one of the rare people who isn’t happy with your service, you won’t have any way to get a refund. This is the norm for debt management plans, however.
• Tight-lipped about its debt settlement program: Money Management International, unlike most other credit counseling agencies, will offer debt settlement plans for accounts that are already charged off. It doesn’t describe how much it costs, however, or any other details. 

How Money Management International Works

Money Management International is a nonprofit organization that works with anyone seeking debt counseling and assistance options. Most of its counseling options are free (at least to begin), but the company may recommend a paid debt management plan—the hallmark of most credit counseling agencies. 

Money Management International’s fees for its debt management plans are very reasonable, and nearly 8 out of 10 clients successfully completed the program in 2022. In the process, the typical customer saves thousands of dollars in interest and is out of debt years sooner than they otherwise might have been. 

The company does this by working with your creditors to restructure your debts, such as by attempting to negotiate lower interest rates. MMI tends to negotiate rates down to about a quarter of what they start as, on average. Whether or not your creditors agree to lower rates, you’ll make one monthly payment to Money Management International, which will send it out to your creditors until the debts are fully resolved.

Accreditations

• Council on Accreditation (COA)
• National Foundation for Credit Counseling (NFCC)
• U.S. Department of Housing and Urban Development (HUD)
• Better Business Bureau (BBB)

How to Enroll With Money Management International 

The process of getting started with Money Management International is fairly straightforward. Here’s how it’ll work, and what you can do to help:

1. Round up your financial details: Money Management International will help you develop a full picture of your income, debts, and assets. You may need copies of pay stubs, bills, debt statements, and other recent financial documents. 
2. Complete a credit counseling session: Call the company or fill out an online intake form to request an appointment with a counselor, either locally or over the phone. Sessions are free and last about 45 minutes, during which time your counselor will help you create a budget and recommend a plan of action.
3. Decide on your level of support: Your counselor may explain your options and refer you elsewhere for some types of debt support, such as student loans. You may also be offered other paid options to help you learn more about building your credit or—most commonly—start a debt management plan. 
4. Enroll in a debt management plan: If you opt for this route, you’ll pay a one-time enrollment fee ranging up to $75. Your credit counselor will then work with your creditors to notify them that you’re entering a debt management plan and to see if they’re willing to help you out by waiving fees, lowering your interest rates, etc. 

Services Offered by Money Management International

Money Management International’s primary, long-term service is its debt management plan. However, it offers a wide range of counseling options.

• Credit counseling: Just about everyone starts with a free initial credit counseling session, where you’ll work one-on-one with a counselor to go over your financial situation, see what you need, and develop an actionable plan to move forward. 
• Credit report reviews: Go over your Experian credit report and credit score with a counselor and develop an action plan in a session lasting 30 to 90 minutes and costing up to $59.
• Foreclosure and eviction counseling: Get free help to understand your situation, learn about your options, and work with your landlord or lender for further help.
• Homebuyer counseling: Get one-on-one assistance in buying a home, and take paid courses (up to $159) to get certified as a first-time homebuyer.
• Reverse mortgage counseling: Complete the counseling requirements for a Home Equity Conservation Mortgage (HECM) and get one-on-one advice with this $199 course. 
• Bankruptcy counseling: Get feedback on whether bankruptcy is right for you during your initial intake, and if so, complete two $50, court-mandated bankruptcy counseling sessions. 
• Student loan counseling: Access free personalized support to go over your options and develop a plan for private and federal student loans.
• Disaster recovery counseling: People living through government-declared disasters can get free long-term support, such as help applying for aid from FEMA, with monthly check-ins.
• Financial workshops: Money Management International puts on free, live workshops around the country on a range of topics, from managing your debt to buying a home.
• Military education and financial counseling: Money Management International operates the Military Reconnect portal where military members, veterans, and family members can access free self-paced financial courses and connect directly with a counselor. 
• Debt settlement: Money Management International doesn’t advertise it much or go into much detail, but it does offer actual debt settlement services if you have accounts that are already reported on your credit file as charged off. 

Types of Debt Addressed

People with any type of debt can get help understanding their options and creating a plan during the initial credit counseling session offered by Money Management International. However, only a few types of unsecured debts are eligible for its debt management plans:

• Credit cards
• Personal loans
• Medical bills

Expected Cost

You’ll only have to pay fees for a few types of services offered by Money Management International. Importantly, the credit counseling session that everyone starts with is free. Depending on what your counselor recommends after that, you may pay the following fees:

• Debt management plan enrollment: $0 to $75; average of $33
• Debt management plan monthly: $0 to $59; average of $25
• Financial course certification: $50 to $199, depending on the course you’re taking

Expected Relief Amount

Money Management International has some impressive numbers backing it up. In 2022, the company reported that 76% of all customers on a debt management program successfully completed it—vastly better than the average 50% completion rate for debt settlement programs in general. (The company doesn’t provide any statistics for its debt settlement program, however.)

The average client completing a debt management plan in 2023 paid off $21,377 in debt after making monthly payments of $453 (including the agency’s fee) for just over four years. Money Management International succeeded in working with creditors to shrink their average client’s credit card interest rates to about 7%, down from an initial average high of 27% APR.

Expected Time to Complete the Program

You should plan on taking up to five years (or longer, in some cases) to complete a debt management plan from Money Management International or any other credit counseling company. 

However, the average MMI client who completed their debt management plan in 2023 took 49 months to get there, or just over four years. The amount of time it takes depends on many factors, such as the types and amounts of debt you have, what assistance your creditors are willing to offer, etc. 

Client Dashboard

You’ll get access to an online account if you agree to work with Money Management International on a debt management plan. You can use this account to sign any legal agreements, link up your bank accounts, set up autopay, and track your payments and progress toward becoming debt-free. 

Customer Service

Keeping in line with its focus on helping everyone, even those who work odd hours, Money Management International makes it easy to get in touch with counselors no matter your schedule. 

Customer Satisfaction and Reviews

Money Management International has a stellar reputation among its customers, receiving good or great scores from nearly every review platform around:

• Trustpilot: 4.6 stars based on over 1,800 reviews
• Better Business Bureau: 4.9 stars based on over 330 ratings; A+ BBB rating
• Google: 4.9 stars based on nearly 500 reviews
• Yelp: 3.7 out of 5 stars based on 21 reviews

Customers generally describe a sense of relief in regards to reaching out to Money Management International and the help it’s able to provide, especially from its counselors who provide a compassionate approach to problem-solving. 

Money Management International vs. Apprisen vs. Cambridge Credit Counseling

Is Debt Relief Worth It?

The debt relief programs offered through Money Management International may be worth it depending on your debt situation, according to third-party customer reviews and internal company reports, which cite that 80% of clients see an immediate reduction in their stress levels after just the first credit counseling session. 

Many of Money Management International’s clients are offered its debt management plan. There are some initial drawbacks, as with any debt management plan, such as a drop in your credit score after you close your credit cards. However, the company states that the average client sees an 84-point rise in their credit score four years after enrolling in a debt management plan.

Sussing out whether its debt settlement program is worth it or not is tougher, given that Money Management International provides limited details. It only offers debt settlement services to people with charged-off accounts listed on their credit reports. 

Negotiating a debt settlement, in this case, can stop debt collectors and will allow you to pay off your debt for less than you owe. For the average person, however, debt settlement isn’t generally a recommended way to go, for several reasons. 

Debt Settlement vs. Credit Counseling

The debt management plans that most credit counseling agencies offer are generally a better choice for most people looking to pay off consumer debt. These help you preserve and eventually even grow your credit score while avoiding significant fees, interest, and tax debt. 

Debt settlement, on the other hand, is typically riskier because you’ll need to intentionally default on your debts by not paying them. You’ll deposit money into a savings account in the meantime that will eventually be used as a bargaining chip, offered as a lump-sum payment in exchange for forgiving the remainder of the debt. 

It’s an approach that’s expensive and not at all guaranteed to work—creditors don’t need to agree to a settlement. It also causes significant and long-lasting damage to your credit, making this a better option only in a limited number of cases.

Is Debt Relief Taxable?

If you enroll in a debt settlement program—as opposed to a debt management plan—and you eventually have some of your debt forgiven, then yes, you will typically owe taxes on that forgiven amount. When your creditors forgive your debts, you’ll be issued a tax form that you must report on your income tax return. The forgiven amount will be taxed at the same rate as employment income.

The benefits gained from a debt management plan, like reduced interest or waived fees, are not taxable.

The Bottom Line

We feel comfortable recommending Money Management International to our friends, family, and readers. Anyone with any type or amount of debt is eligible for a free credit counseling session to put together a comprehensive picture of their finances, the options available to them, a step-by-step action plan to get out of debt, and a workable budget to stay debt-free in the long run.

The long-term support options offered through Money Management International (i.e., debt management plans) are both affordable and highly successful. It’s not just the company marketing department putting on a show, either—its ability to help people in a real way is backed up with thousands of excellent customer reviews and ratings online. 

Frequently Asked Questions (FAQs)

Is Money Management International Reputable?

Yes, Money Management International is a reputable credit counseling service. It has multiple accreditations and is a member of the National Foundation for Credit Counseling. It also has scores of positive ratings and reports from customers online (with the occasional negative review), indicating that most people receive real help from its credit counselors in managing their debt.

How Much Does Money Management International Cost?

Basic credit counseling is free. You’ll only pay a fee for debt management plans and a few niche services. Money Management International charges based on a sliding scale for these plans, ranging up to $75 to get started and $59 per month thereafter. The average customer, however, only pays a $33 enrollment fee and a $25 monthly payment, and takes four years to completely pay off their debt. 

Does Money Management International Hurt Your Credit?

Enrolling in a debt management plan can hurt your credit because you typically need to close your credit cards, and that may increase your credit utilization and cause your score to dip a bit. However, the average Money Management International customer sees a significant 84-point rise in their credit score within four years of starting the plan. 

Is Money Management International a Nonprofit?

Yes, Money Management International is a registered 501(c)(3) nonprofit. It’s also a member of the National Foundation for Credit Counseling. Although it does charge fees for some of its services, those costs are rolled back into the organization so it can provide free credit counseling services to over 100,000 people each year. 

How We Determine the Best Credit Counseling Services

To determine the best credit counseling services, we reviewed various databases, competitive analyses, consumer behavior, and more, ultimately narrowing down the list to 40 companies, including 17 companies that offer credit counseling services that include debt management plans. We developed a quantitative model where we identified 53 important criteria across five categories. We weighted each category as follows for this article:

• Costs and fees: 37.00%
• Availability: 19.50%
• Reputation and stability: 18.50%
• Customer experience: 9.00%
• Services: 16.00%

We then gathered data for the 53 criteria directly from companies via websites, media contacts, and existing partnerships. Data were collected between Oct. 19, 2023, and Dec. 18, 2023. This resulted in over 2,000 data points in our rubric, which we used to score and determine the best debt relief companies (including debt settlement and credit counseling services) for people looking to manage and get out of debt.

To learn more about our process for finding the best debt relief companies, read our full methodology.