Debt Management and Credit Counseling
Debt management and credit counseling is necessary in our American society where the average household debt amounts to $18,000 not including mortgages, and surpasses 2 trillion dollars nationally. Many organizations are joining the cause for a debt free America. This cause starts with debt management and credit counseling. Debt management and credit counseling provide the framework for creating a realistic lifestyle budget coupled with managing the reduction of debt. Both components work hand in hand for achieving the bigger goal which is to get out of debt and stay out of debt.
Many people are confused and uncertain about receiving outside help in debt management and credit counseling. They have heard bad advice being strewn around, and know people whose situation has been worsened by outside help. It is advised that if a person is looking to hire out for debt management and credit counseling, they do so with caution and at least three research referrals. These referrals can be obtained from contacting the BBB or Better Business Bureau to view a rating and any complaints filed. Another referral can be found through previous customers. Ask the debt management and credit counseling agency you are considering working with for a list of their last 5 clients.
Tell them you need to see if previous clients were satisfied customers before signing up. Another way to research an organization is through a thorough look at their program. Do they ask you detailed questions about your spending habits, your expenses, your income, and your financial goals? If they honestly want to help you create a lifestyle budget and simultaneously pay off debt, they need to have this pertinent information. Without this information, it is a blind guess budget plan, and most likely will not fit your individual lifestyle. A good debt management and credit counseling firm will organize your data in an easy to read form for you.
They will also present every option available to you, the consumer in order to allow you to make an informed decision about your finances. Do not let any agency organization make any decisions for you. You have the responsibility to make your own informed decision, because you are the one held liable for them. A debt management and credit counseling agency is never responsible for your bad decisions with exceptions to gross negligence and breaking lending and usury laws. The mountain of responsibility falls on your shoulders alone. Be sure to research and check up on every firm or agency you consider, and remember that you are in control of your life, the debt does not control you, it can be managed.