Almost 60% of U.S. adults say they’re looking for financial adviceā¦ but they don’t know where to turn.
Most people report going to friends, podcasts, or even social media for money advice, but fortunately, there’s a better option.
Since the 1960s, consumer credit counseling has been a source for free and low-cost professional help with managing financial challenges. Today, the NFCC has a network of 250 nonprofit counseling agencies and more than 1,200 certified credit counselors. Here’s a look at how they can help you with your finances.
What is a Consumer Credit Counselor?
A certified consumer credit counselor can review your finances and credit, suggest solutions and connect you to unique resources.
Their counseling services are available in-person or over the phone, and appointments typically last 30-minutes to an hour. During your session, an NFCC-certified counselor can offer professional advice on the following topics:
- Credit
- Budgeting
- Collections
- Debt management
- Consumer rights
- Bankruptcy
Four Ways a Consumer Credit Counselor Can Help You
Consumer credit counselors offer a variety of specialized assessments and they can cater to many types of financial needs. When you meet with you counselor, you might receive the following services:
1. Credit Report Reviews
A certified credit counselor can review your credit reports to help you understand what’s inside. During a credit report review, you can discuss:
- Strategies for improving your credit scores
- How to dispute mistakes
- Catching and recovering from credit fraud and identity theft
- How to qualify for better loans and credit cards
2. Debt Counseling
A credit counselor can review your finances to help you make a personalized plan for dealing with collections, paying off loans or becoming debt-free.
For some people, this could mean going on a debt management plan (DMP), which involves having a counselor set up a new payment agreement with your creditors and then distributing a single monthly debt payment on your behalf.
3. Housing Counseling
A HUD-approved housing counselor can help you explore your options for buying a home, how to get current on your mortgage payments or strategies for preventing foreclosure.
4. Bankruptcy Counseling
If you’re planning to file bankruptcy, you’ll have to conduct your required, 90-minute bankruptcy counseling with a credit counselor at a government-approved agency.
How Do I Find a Consumer Credit Counselor?
Not all consumer credit counselors are trustworthy. Unfortunately, some agencies offer for-profit credit counseling, with the goal of charging you for expensive, high-risk solutions or even scamming you out of money.
If you’re looking for a reputable agency, you can use our Agency Finder, or call 800-388-2227, to find a certified, nonprofit credit counselor within our network.