Welcome, visitor! [ Login

Post an Ad

How Credit Counseling Works

Debt-Credit Consolidation June 27, 2022

 

When you meet with a credit counselor, you’ll be asked to provide information about your income, expenses, and debts. After analyzing and discussing this information with you, your counselor may recommend that you:

 

  • Continue to handle your finances on your own.
  • Participate in agency education classes.
  • Enroll in a debt-management/repayment plan.
  • Be referred to another organization for assistance.

 

If you decide to enroll in the debt-management/repayment plan, you will be asked to stop using your credit cards or incurring debt. The counseling agency will negotiate a repayment schedule with your creditors that will generally allow you to get out of debt in two to five years. You’ll make one monthly payment to the agency, which will then pay your creditors.

 

If you are concerned about the effect that credit counseling may have on your credit history, talk to your counselor about it. Some lenders may bring your account current and report it as being paid on time, as long as you stick with the program. Others may report that your account is being repaid through credit counseling or may even report your account as delinquent, both of which can look negative to future creditors. The fact that you met with a credit counselor will never appear on your credit report if you just get budgeting advice and do not choose to enter the debt management plan.

 

What you shouldn’t expect from a debt counselor is legal advice or detailed advice about filing for bankruptcy. For these, you should talk with an attorney.

 

No Tags

680 total views, 1 today

  

  • FAIR DEBT COLLECTION PRACTICES ACT

    by on August 20, 2022 - 0 Comments

    FAIR DEBT COLLECTION PRACTICES ACT   The federal law, the Fair Debt Collection Practices Act (“FDCPA”), protects consumers from abusive or harassing, false or misleading, and/or unfair practices of third party debt collectors or attorneys attempting to collect debts incurred for personal, family, or household purposes. Business or agricultural debts are not covered by the […]

  • Debt Collectors -Recovery Services - FL & AL

    by on September 13, 2022 - 0 Comments

    Entity Address Telephone CenterOne Debt Management Services LLC 6150 Omni Park Drive, Mobile, AL, 36609 (251) 639-7500 Medical Data Systems, Inc.  Medical Revenue Service 645 Walnut Street, Suite 5, Gadsden, AL, 35901 (256) 546-7099 Firstsource Financial Solutions, LLC 7715 NW 48th Street, Miami, FL, 33166 (305) 513-5500 Bayview Loan Servicing, LLC 4425 Ponce De Leon […]

  • Debt Collectors -Recovery Services

    by on August 31, 2022 - 0 Comments

    Entity Address Telephone A.C.B. American, Inc. 4351 Winston Avenue, Covington, KY, 41015 (859) 261-8745 Advanced Collection Services LTD Mastercheck 55 Whiting Street 2A, Plainville, CT, 06062 860-793-2255 Advanced Collection Services LTD Mastercheck 55 Whiting Street 2A, Plainville, CT, 06062 860-793-2255 Affiliated Group, Inc., The  Affiliated Credit Services 3055 41st Street NW, Suite 100, Rochester, MN, […]

  • Credit Counseling & Auto and Home Loans

    by on July 28, 2022 - 0 Comments

      Credit Counseling   If you aren’t disciplined enough to create a workable budget and stick to it, can’t work out a repayment plan with your creditors, or can’t keep track of mounting bills, consider contacting a credit counseling service. Your creditors may be willing to accept reduced payments if you enter a debt repayment […]

  • Credit Counseling Courses and Financial Management Courses : Delaware (DE) USA

    by on September 7, 2022 - 0 Comments

    Financial Management Instructional Courses /Debtor Education Agencies Name,  Website , Courses Offered & Languages Supported  Debtor Education Agencies   address 1st Choice Credit Counseling & Financial Education a/k/a DBSM, Inc.         Website – www.mybknow.com:      Financial Management Instructional Courses (Debtor Education) Delivery Method – Internet :   Language (other than English) in which the service method is provided, either […]