The Truth About Credit Counseling

Financial experts and credit counselors are trying to spread the word to consumers about the benefits of taking a credit counseling course.  In fact, research shows that attending a single financial course can greatly improve the success or failure of a debt management plan. The problem is that most people simply do not know about these courses or where to find such resources.

The Good

While these courses are required for bankruptcy filers, they aren’t limited to only those taking legal action to protect their finances. Anyone is eligible to utilize these valuable services and learn skills to improve their finances. In fact, those who attend a course before their debts become unbearable have a far better chance of avoiding the need for bankruptcy down the road. Even better, these courses offer a wide variety of information for a very affordable price. From simple budgeting and money management, to choosing the right debt relief solution and even the  basics of investing money.

The Bad

There really isn’t much to say against a credit counseling course except that it takes action and effort. Learning the skills is one thing, but applying them is another issue. The idea is that consumers will learn some techniques and put them to use in their own financial lives. Another cause for concern is found among non-reputable credit counseling agencies. It is estimated that for every one reputable agency, is two others that are operating for profit and purposes of scamming money from consumers. One way to avoid these companies is to obtain references from a local bankruptcy attorney, financial expert or online through the U.S. Department of Trustee’s website.