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Browse the Credit.com blog for tons of information on how credit works, how to repair or improve yours, and how to save money when dealing with credit or other parts of daily life. The CFPB is a government agency that works to educate and inform consumers on a variety of topics, including credit and debt.
CreditCounselor. A creditcounselor is certified and trained in consumer credit, money and debt management, and budgeting. Counselors can discuss your entire financial situation with you, and help you develop a plan to solve your money problems. They typically charge a high fee for negotiating discounts.
DO consult with a bankruptcy attorney or creditcounselor. For personal debt, we recommend you talk to a creditcounselor first. The federal government and some states are delaying the date when taxes are due. If that isn’t coming together, it may be time to consider personal or corporate bankruptcy.
Meeting with a creditcounselor should be your initial move if you indicated “yes” to a number of the aforementioned inquiries. Do not use credit consolidation businesses that are marketed on television or online. Department of Justice’s list of accredited creditcounselors.
Typical problems arise from: Bankruptcies : Declaring bankruptcy can resolve short-term problems while also creating long-term credit issues. Tax liens : Whether local, state, or federal, a tax lien from the government can put a huge dent in your credit profile for the foreseeable future.
A collection agency is a company that is hired by lenders, creditors, medical providers and federal and local governments to get you to pay or make arrangements to pay what you owe them,” Eweka tells Select. Contact the National Foundation for Credit Counseling (NFCC) and ask to work with a nonprofit creditcounselor.
In 2008, the federal government funded programs to help consumers restructure debt repayments with sustainable long-term modifications. The government established a centralized response involving not-for-profit counselors and lenders to create a smooth system for consumers, and it worked.
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