Need Some Help Getting Out of Debt? Consider Debt Eye!

The following review is sponsored by DebtEye.com*.

Recently, through being a Yakezie Personal Finance Blog Network member, I was exposed to a brand new online debt payoff/management tool, called Debt Eye.

The full version of the tool is currently being rolled out (due to launch fully in the next few weeks), so I wasn’t able to try out all of the features that Debt Eye has to offer, but I was able to get the feel for what will be available. Below are my experiences thus far:

 

Overview of Debt Eye

So, at a high level, Debt Eye’s goal is to help you pay off your debt. However, how exactly do they help with this? Furthermore, what makes them different from the hundreds of other “tools” available on the Internet to help you reduce your debt?

Well, let’s take a look in more detail at what Debt Eye offers to seek out an answer to these questions.

 

Getting Started with Debt Eye

To get started using Debt Eye, you simply input your specific information in to the secure online system. The information you need to provide is listed below:

  • Name (first/last), address, phone number, etc.
  • Desired username and password.
  • In order to have Debt Eye pull a free copy of your credit report from the credit agency, TransUnion, you must enter your Social Security Number (SSN).
  • However, if you are unsure about whether or not you want to enter your SSN, then you can elect to list out your different debt accounts manually.
  • Once you have entered your SSN, the Debt Eye system will automatically generate a list of all of the debt accounts you are currently carrying (or you can enter your debts manually if you choose).
  • Included in this list will be the amount of debt owed, status of payments (whether they are past due or not), time frame of payback, and interest rate.

What Tools Does Debt Eye Offer?

At this point, if you see a creditor you don’t recognize, a nice feature Debt Eye has is to dispute the account.  The next step is to choose your payment amount.  Unlike other debt management companies, you’re not forced into paying an amount that you can’t afford.  You can play around with the monthly payments to see how fast you can become debt free.

Once you confirm a comfortable payoff amount, Debt Eye then allows you to interface with your checking and/or savings account from which to transfer money to your creditors.

Debt Eye then “recommends” a program for you based on your financial profile (whether you’re behind, how important your credit score is to you, etc).  They will display all the information such as monthly payment, interest rate, number of months to become debt free, fees, benefits, and drawbacks.

Debt Reduction Plans Offered by Debt Eye

Once you enter all of your personal information in to Debt Eye’s system and your list of debts has been generated, the interface will then recommend one of 3 types of debt reduction plans, including debt snowball, debt settlement, and debt management plans. A screenshot of the different plan options is shown below:

Debt Snowball Plan

As described in a previous post on my site about helping a friend get out of debt, the overall aim of a debt snowball plan is to pay off your lowest balance debt account first. In order to do this, you will set up your debt payments so that you pay the minimum required amount for all your debt accounts EXCEPT for the one with the lowest balance.

Debt Management Plan

Debt management plans work by getting all of your creditors to agree on one low(er) monthly payment and reducing your interest while you are on the plan. It usually doesn’t impact your credit when you start, and your credit will improve once you complete the plan.

Debt Settlement Plan

The premise of a debt settlement plan is to save up enough of a lump sum amount to offer your creditors at one time to get rid of your debt balances completely. Extreme caution should be used when proceeding with this option because debt settlement can have a large negative net impact on your credit score. However, when someone is getting behind on their payments and is struggling to meet their monthly demands, having a lower credit score probably isn’t the worst thing in the world.

 

How Much Does Debt Eye Cost?

According to the Debt Eye site, the service is free to sign up for and to use. On the “How it Works” page, it mentions that it is free of charge to set up a debt management, settlement, or snowball payoff plan. However, it does mention that you can choose to have Debt Eye manage your debt payments for a small fee.

Unfortunately, it never talks about the detail about what is or isn’t involved in having Debt Eye manage your payments nor does it discuss the exact definition of the “small fee.” Additional detail is needed in this regard to the service.

 

Conclusions

Overall, I was nicely surprised by how easy the Debt Eye interface was to use, especially in regards to how easy it was to manually enter my various debt accounts. I also liked that Debt Eye seems to offer the majority of their tool free of charge. In this way, it could serve as a great tool for people wanting some guidance in paying off their debt, but whom do not want to seek the help of a formal debt counselor.

Lastly, since the complete version of the interface wasn’t rolled out yet during my investigation, I’m very curious to give Debt Eye another run through once it officially “goes live.”

How about you all? Have you tried Debt Eye yet? What did you think? 

Have you tried any other type of debt management/payoff tools? How did you like or dislike them?

Share your experiences by commenting below!

*Disclosure – I received monetary compensation for writing this review. However, as with all of the reviews I do, I offer my fair and honest opinion about the service/product.

Comments

  1. Looks like a great tool. I wonder if it is helpful for Canadians too. I will have to check it out.

    • Sounds good Miss T! Let me know if you come across any questions that I can help with!
      My recent post My Personal Finance Journey Vs. The United States of America – Round 2 – What Interest Rate is Your Savings Account Earning?

  2. This looks like a great way to manage your finances and cut down on your debt. Always good to have a resource to track debt and watch your progress. A big motivator. Might I suggest ” target=”_blank”>http://www.mint.com as well…one of my personal favorites!
    My recent post 25 Money Saving Tips For The Holidays

    • Thanks for reading Jon! I have a lot of friends who use Mint.com. However, I was sort of operated under the assumption that Mint doesn't provide you with much insight if you are already pretty good at spending and are frugal. What's been your experience with that tool?
      My recent post My Personal Finance Journey Vs. The United States of America – Round 2 – What Interest Rate is Your Savings Account Earning?

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