DEBT COUNSELING - AVOID SCAMS
If you are overwhelmed and decide to seek the services of a debt counseling agency, make sure you find a good one.
Before we delve into this topic, let me say that every trade has good people and bad people. Unfortunately, some debt counseling agencies give the good ones a bad name. With that said, there are PLENTY of legitimate Debt Counseling organizations that will help you manage your money and develop a budget that is suitable to your situation.
The first thing to do is RESEARCH. Look for a debt counselors in your area of residence that will work with you face-to-face. You may want to check with the State Attorney General or the Better Business Bureau (BBB) to get a sense of their reputation. Both sources can tell you, if complaints have been filed against the counseling agency.
The FTC recommends asking questions such as the following, when looking for a good credit counseling service:
Stick with debt counselors who offer a full range of services including budget counseling, savings and debt management classes. Avoid organizations that do not encourage you to analyze your current debts or financial situation. This is important as we discussed in step #4.
In addition, avoid organizations that promise to:
Visit www.poorcreditgenie.com for additional articles on how to rebuild your credit:
The author is the owner of the information-rich website http://www.poorcreditgenie.com . The website offers free advice on how to rebuild credit and manage debt. The site also features numerous articles and news stories on credit report, credit cards and bankruptcy.