Community Credit Counseling Services
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Community Credit Counseling Services
The amount of advertisements and TV commercials that promote various Community Credit Counseling makes us all wonder if they really do help people. It's obvious that they are making killer profits and we often wonder how it's possible since they are getting paid from people who are mostly on the verge of Bankruptcy anyway. So what is it that there selling? What do you get for your money? Here are some examples of what you get from most of the top advertised Credit Counselors:
- Personal edit Counseling
- Debt Management Counseling
- Housing Counseling
- Bankruptcy Counseling
- Videos and Webinars
- Budget Calculators
- Debt to Income Support
- Retirement Planning and Financial Worksheets
Can you get out of debt alone?
Its hard to say exactly if most people can get out of debt without receiving some form of Counseling. There are some things that people can do to rid themselves of debt and all of the the unnecessary stress that comes with it. If you have delinquent debts, leave them alone. Don't try and pay them as it will cause more problems in the future. You can create your own payment plan option working with the Debt Counselor by drafting a letter that shows that you will pay the debt in exchange for removal of the delinquency on your credit report. It does work and will require tough negotiations, but never give in until you get what you want. If the Debt Collectors are Harassing you by phone and you want it to stop. You can easily end the harrasing phone calls by sending the Debt Collector a letter telling them to cease contact with you immediately. Its a Federal law and they must follow it. If they don't follow the law, you can sue them for harassment.
Its time to take on your debt all by yourself
You have what it takes to get rid of the debt all on your own. It really depends on budgeting your money and being more thrifty then you what your used to. Its a good thing! After two months of paying a little more on your debt, you will start to feel the burdened weight lifting. You will even start to become more eager to pay down your debt even more. The more the stress that is lifted, the more you will want to repair your credit and rid yourself of debt once and for all.
Be Careful with Debt Consolidation
The last thing anyone needs is another form of debt to add to the big pile that already exists. Debt Consolidation always seems like a healthy choice or a short term solution, but it comes with great cost. Most loans that are available to people with bad credit are likely to have extremely high interest rates. Don't get back to where you were in the first place. Especially if you have old delinquent debts that you haven't paid on for a while. It is critical that you don't pay them with a debt consolidation program or high interest credit card You will have your chance to negotiate with the Debt Collector and reduce the debt in half in exchange for removal of the delinquency on your credit report. If you are slow paying on credit cards and loans then debt consolidation is likely a good option for you. After debt consolidation, you will likely see your credit score go up over time for paying your bills on time.
Rate the top 10 Credit Counseling Services
- CareOne Debt Relief
- AAA Fair Credit Foundation
- Springboard
- Money Management International
- American Consumer Credit Counseling
- American Financial Solutions
- Take Charge America
- Clear Point Credit Counseling Solutions
- Cureadebt
- InCharge Debt Solutions
Its important to know who they really are and whether they truly help people. Its time that people start knowing the truth about these Companies.
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Hi BGamall,
Thanks for the follow. I am working on a new website called http://www.debt-escapes.com and I am hoping to learn more about Credit Counseling Companies that are reputable and trusted. I was hoping to design this hub in a way that people would comment about there bad experiences with certain Credit Counseling Companies. My goal is to listen to people about there experiences and make a web page exposing the truth and only promoting good reputable and honest Companies. I may even expose them by pulling in some Rip Off reports as well. People who are in debt are having a troubling time and the last thing they need is to go into debt further because of untrusted Credit Counseling Services.
I do hate debt. It is better life with pennywise. Debt is like poison. Today people hate it but keep do it, take a loan and living with debt. You write short and good explanation about it.
Hi eculligan! I think credit counseling services can be really helpful for some folks. I have a friend who used a local credit counseling company and got out of debt quicker than he would have by himself. You do have to be careful about which service you use and your hub has helpful information.
You spoke well my friend.
bgamall Level 4 Commenter 20 months ago
Debt consolidation will slow or stop interest. But the principle goes untouched. Debt settlement is a lowering of principle on accounts where people have stopped paying. I have found that people who have cash or assets may benefit by dealing directly with debt settlement companies, and seek to end the debt. However, there are trust issues and nowadays, settlement companies have folded and gone under, with your money. So dealing with debt settlement companies can be a risky thing.
Some people may have to just await garnishment. If they have the means garnishment could actually be less per month than their initial credit card debt.
Some people may have to walk away and just hope that the companies don't go after them. That has happened.