Wondering how much your credit card payment could be on a Debt Management Plan?
Use DebtWave's free Debt Management Plan Calculator to estimate the monthly payment and interest rate that may be available for one of your credit cards or unsecured debts.
Select your creditor and enter your current balance, APR and minimum monthly payment. The calculator will compare those numbers with estimated Debt Management Program terms and show you how much you could potentially save.
No new loan. No obligation to enroll.
See What a Debt Management Program Could Save You
High credit card interest rates can make it difficult to reduce your balance. A significant portion of each minimum payment may go toward interest instead of reducing the amount you originally borrowed.
A Debt Management Program, also known as a DMP or Debt Management Plan, may help by providing reduced interest rates and monthly payments on participating accounts.
Rather than guessing how much you might save, use the calculator below to get an estimate based on one of your actual accounts.
How to Use the Debt Management Plan Calculator
Start with the credit card or unsecured account that has your largest balance. Your most recent statement should contain the information needed to complete the calculator.
Information You'll Need
- Creditor name
- Current account balance
- Current APR or interest rate
- Minimum monthly payment
What You'll See
- Potential monthly DMP payment
- Estimated interest rate
- Approximate monthly finance charges
- Potential monthly savings
Calculate Your Estimated DMP Payment
Enter the information from one of your accounts below to see estimated Debt Management Program terms.
Important: Calculator results are estimates only. Actual creditor terms may vary based on the creditor, account type, balance, account status and creditor guidelines available when you enroll in a Debt Management Program.
Understanding Your DMP Calculator Results
After entering your account information, the calculator provides several estimates. Here's what each result means.
Estimated DMP Monthly Payment
This is the estimated amount that would be allocated each month toward the creditor you selected if the account were enrolled in a Debt Management Program.
Estimated DMP Interest Rate
Participating creditors may provide reduced interest rates. The displayed rate is an estimate based on the terms available for that creditor.
Estimated Monthly Finance Charges
A lower APR can reduce the amount of interest charged each month, allowing more of your payment to go toward reducing the account balance.
Estimated Monthly Savings
This estimate illustrates how your monthly debt expense could change after comparing your current payment and finance charges with estimated DMP terms.
What Is a Debt Management Plan?
A Debt Management Plan is a structured repayment program commonly offered through nonprofit credit counseling organizations. The Consumer Financial Protection Bureau explains how credit counseling and debt management plans work, including how counselors may help organize repayment plans for consumers struggling with debt.
It is not a loan. You do not borrow money to pay off your existing credit cards.
Instead, a credit counseling agency works with participating creditors to establish repayment terms that may include lower interest rates, reduced required payments or other creditor concessions.
Consumers enrolled in a DMP generally make one scheduled payment to the credit counseling organization. The agency then distributes the appropriate payments to participating creditors.
Your enrolled debts are repaid rather than settled for less than the amount owed.
Potential Benefits of a Debt Management Program
Available benefits depend on your individual accounts and each creditor's current terms. A DMP may provide:
- Lower interest rates on participating accounts
- Reduced monthly payments in many situations
- One scheduled program payment
- A structured path toward paying off debt
- No new debt consolidation loan
- No traditional loan approval requirement
- Support from a nonprofit credit counseling organization
Creditor participation and terms vary, so not every account will receive the same benefits.
How DebtWave's Debt Management Program Works
Getting information about a DMP does not require you to commit to a program. The process starts by reviewing your complete financial situation.
Review Your Debt
A DebtWave credit counselor reviews your credit card balances, interest rates, payments, household income and monthly expenses.
See Which Accounts May Qualify
We'll determine which creditors and accounts may be eligible for a Debt Management Program and explain the terms currently available.
Compare Your Options
Before enrolling, compare your current payments and interest rates with the estimated DMP payment and other available repayment options.
Enroll If a DMP Makes Sense
If you decide to enroll, eligible participating accounts are organized into a structured repayment plan.
Work Toward Becoming Debt-Free
Debt Management Programs are commonly structured to repay enrolled debt within approximately three to five years, although individual repayment periods vary.
Who Should Use This DMP Calculator?
The calculator may be particularly useful when high-interest credit card debt is becoming difficult to manage.
- Credit card interest rates are making balances difficult to reduce
- Minimum payments consume too much of your monthly budget
- Multiple credit card payments are becoming difficult to manage
- A large portion of each payment appears to be going toward interest
- High balances are keeping your cards near their limits
- You're considering a debt consolidation loan
- Paying your debt in full remains your goal
- You want to compare options before speaking with a counselor
You do not have to be behind on your payments to explore a Debt Management Program.
Many consumers investigate nonprofit credit counseling while their accounts are still current because high interest rates are making it increasingly difficult to get ahead.
Debt Management Plan vs. Debt Consolidation Loan
A Debt Management Program is sometimes described as a form of debt consolidation because multiple debt payments can be simplified into one scheduled program payment. However, a DMP is not a debt consolidation loan.
| Debt Management Program | Debt Consolidation Loan |
|---|---|
| No new loan | Requires new financing |
| No traditional loan approval required | Approval depends on lender requirements |
| Existing debts are repaid | Existing debts are replaced with a new loan |
| Participating creditor rates may be reduced | Interest rate depends on the new loan |
| One scheduled DMP payment | One new loan payment |
| Provided through credit counseling organizations | Provided through banks and lenders |
A consolidation loan can work for some consumers, especially when they qualify for a significantly lower interest rate. Others may find that a Debt Management Program offers a more practical way to repay high-interest credit card debt without borrowing additional money.
Want an Estimate for All of Your Credit Cards?
The calculator provides a quick estimate for an individual account. A DebtWave credit counselor can review all of your debts together and estimate what your complete Debt Management Program payment could look like.
Free nonprofit credit counseling. No new loan. No obligation to enroll.
Get Started OnlineFind Out What Your Complete DMP Payment Could Be
If you have several credit cards, looking at only one account tells part of the story. A complete credit counseling review allows you to evaluate all of your balances together.
During a free DebtWave credit counseling session, a counselor can review information such as:
- Credit card balances
- Current interest rates
- Required monthly payments
- Household income
- Living expenses
- Participating creditors
- Estimated DMP payments
- Available repayment alternatives
You'll have an opportunity to review the numbers and available options before deciding whether a Debt Management Program makes sense for you.
Frequently Asked Questions About Debt Management Plan Calculators
What is a Debt Management Plan Calculator?
A Debt Management Plan Calculator estimates how your monthly payment and interest rate might change if an eligible debt were enrolled in a Debt Management Program. DebtWave's calculator uses your creditor, balance, APR and current payment to provide an estimated DMP payment and potential savings.
How accurate is the DMP calculator?
The calculator provides an estimate rather than a guaranteed creditor offer. Actual terms can vary based on the creditor, account type, account status, balance and creditor policies in effect when you enroll.
Does using the calculator affect my credit score?
No credit check is required to use the calculator itself. You manually enter the account information needed to receive an estimate.
Will a Debt Management Program lower my interest rates?
Participating creditors may provide reduced interest rates through a Debt Management Program. The amount of any reduction depends on the creditor's current guidelines and the eligibility of the individual account.
May I calculate payments for more than one credit card?
Yes. For a quick initial estimate, start with the account carrying your largest balance. Additional accounts can then be evaluated individually, or a DebtWave counselor can review your complete debt situation.
Is a Debt Management Plan the same as debt settlement?
No. A Debt Management Program is designed to repay participating debts according to an established repayment schedule. Debt settlement generally attempts to negotiate repayment for less than the full amount owed and operates differently from nonprofit credit counseling.
Do I need a good credit score for a Debt Management Program?
A DMP is not a loan, so you are not applying for new financing under a lender's traditional credit-score requirements. Eligibility instead depends on factors such as your creditors, debts, budget and ability to make the proposed program payment.
How long does a Debt Management Plan take?
Many DMPs are structured to repay enrolled debts within approximately three to five years. Your actual payoff period will depend on your balances, monthly payment and creditor terms.
What happens to credit cards enrolled in a DMP?
Credit cards included in a Debt Management Program are generally closed or restricted from additional purchases. Your counselor can explain what is expected to happen with each account before you decide whether to enroll.
Is DebtWave's credit counseling consultation free?
Yes. You can review your financial situation and available options with DebtWave without an obligation to enroll in a Debt Management Program.
Take the Next Step Toward Paying Off Your Debt
See whether lower creditor interest rates and a structured Debt Management Program could help make your credit card debt more manageable.
Free consultation. No new loan. No obligation to enroll.
Get Started Online