Frequently Asked
What are the first steps?
The first steps are having any of your financial documentations prepared prior for the consultation. Upon review, we will determine what the next best steps for your financial situation.
Is Credit Counseling and Education worth my time and money?
Credit counseling can be considered "worth it" for individuals facing financial challenges or seeking to improve their financial literacy and management skills.
What can I expect when I enroll in Credit Counseling?
When you engage in credit counseling, you can expect several key services and outcomes:
- Financial Assessment: The credit counseling session typically begins with a thorough review of your financial situation. You'll discuss your income, expenses, debts, assets, and financial goals with a certified credit counselor. This assessment helps the counselor understand your unique financial challenges and develop a personalized plan to address them.
- Budgeting Assistance: Credit counselors can help you create a realistic budget that accounts for your income, expenses, and debt obligations. They may provide tools and strategies to help you track your spending, prioritize expenses, and identify areas where you can cut back to free up funds for debt repayment or savings.
- Debt Management Plan (DMP): If you're struggling with unmanageable debt, your credit counselor may recommend a debt management plan (DMP). A DMP consolidates your unsecured debts (such as credit card balances) into a single monthly payment, which is then distributed to your creditors according to an agreed-upon schedule. Credit counselors negotiate with creditors on your behalf to lower interest rates, waive fees, and establish more favorable repayment terms.
- Credit Report Review: Credit counselors can help you obtain and review your credit report to understand your credit history and identify any errors or negative items that may be impacting your credit score. They can also provide guidance on how to improve your credit over time by making timely payments, reducing debt, and managing accounts responsibly.
- Financial Education: Credit counseling often includes educational resources and workshops to help you improve your financial literacy. Topics may include budgeting, saving, credit management, debt repayment strategies, and long-term financial planning. By empowering you with knowledge and skills, credit counseling aims to help you make informed financial decisions and achieve greater financial stability.
- Support and Guidance: Throughout the credit counseling process, you'll receive ongoing support and guidance from your credit counselor. They can answer your questions, address your concerns, and provide encouragement as you work towards your financial goals. Having a knowledgeable and supportive advocate can be invaluable, especially during challenging times.
