Quick Application

First Name *
Last Name *
Spouse
Email *
State	Select ... Alaska Alabama Arkansas Arizona California Colorado Connecticut District Of Columbia Delaware Florida Georgia Hawaii Iowa Idaho Illinois Indiana Kansas Kentucky Louisiana Massachusetts Maryland Maine Michigan Minnesota Missouri Mississippi Montana North Carolina North Dakota Nebraska New Hampshire New Jersey New Mexico Nevada New York Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Outside US Utah Virginia Vermont Washington Wisconsin West Virginia Wyoming
Home Phone *	--
Work Phone	--
Cell Phone	--
Are you a home owner	=== Select value ===YesNo
Total Debt * (minimum: $12,000)	=== Select value ===$12,000 - $19,999$20,000 - $29,999$30,000 - $39,999$40,000 - $49,999$50,000 - $59,999$60,000 - $69,999$70,000 - $79,999over $80,000
Currently Monthly Payments*	=== Select value ===$100 to $500 monthly$501 to $1000 monthly$1000 to $1500 monthlyover $1500 monthly

Credit Counseling

Prior to the introduction of Consumer Credit Counseling companies, Americans had very few options to deal with debt reduction, other than filing bankruptcy. CCC organizations were originally set up by a major credit card company in the early 1980s as a means of recovering money from thousands of people that were starting to fall behind on their payments.

In Credit Counseling you make a single monthly payment to a debt counseling agency. That agency then distributes the money to your creditors on your behalf, ideally at lower interest rates so you can pay off the debt faster. Of all the available debt options, Credit Counseling is by far the most popular, with millions of Americans participating. Does this mean it's the best choice for most people struggling with debt? Not necessarily. There are numerous problems with this approach, and in recent years, Credit Counseling has come under heavy criticism from impartial consumer groups and government regulators. One of the most misleading aspects of Credit Counseling is the "non-profit" status of most agencies. Just because an organization says it is a "non profit," there is no guarantee that the services provided are free, affordable, or even legitimate.

Another big problem with Credit Counseling is the divided loyalty of the agencies. Credit Counseling organizations are dependent on creditors for the majority of their income (in the form of kickbacks of 7-15% of the monthly payments), yet the agency supposedly represents the consumer. How can the consumer expect truly objective advice from an agency that directly accepts compensation from his or her creditors? That's why one of the criticisms of the Credit Counseling industry is that it acts like a big collection agency for the credit card banks.

Be wary of credit counseling organizations that:

Charge high up-front or monthly fees for enrollment into their program.

Disguise additional high commissions and fees in the form of "voluntary contributions".

Try to enroll you in a debt management plan (DMP) without spending time reviewing your financial situation.

Offer to enroll you in a DMP without teaching you budgeting and money management skills.

Demand that you make payments into a DMP before your creditors have accepted you into the program.