Are you so troubled by your excessive debt and inability to repay debt that you think filing for bankruptcy is your best option to get rid of debt? Well, enroll into a free debt management program.
A debt management program is an alternative debt relief option to help you pay off the debt without needing to declare bankruptcy.
When you first visit a credit counselor, check if he is a certified credit counselor. You want a debt management counselor who provides you a thorough credit counseling service including reviewing your financial situation by looking at your income, credit card debt and expenses, and offering you customized advice on managing your money sensibly.
You do not want a credit counselor who rushes you into signing up a debt management program without giving you a thorough credit counseling service or letting you ask all the questions you need in order to understand how a free debt management program will help you.
A credit counselor who doesn’t have your best interests in mind or isn’t sensitive to your financial circumstances and feelings is not cut out to be your credit card debt counselor.
A good debt management counselor will only suggest a debt management plan to you if the credit counseling service does not work for you or your budget shows that you can continue to pay your living expenses, but need some help paying your debts.
If you want to stay out of debt, your credit card accounts need to be closed. A good credit management counselor will make sure you close them and set you up on a budget, so you don’t need new credit cards.
If you are agreeable that a free debt management program is the best solution for your situation, the debt management counselor will negotiate with your creditors on your behalf to obtain lower payments, have your interest rates reduced and your late and over-limit fees waived.
A good credit counselor should keep you up to date on your progress by sending you a monthly statement saying how much you paid, where it went and how much more you owe.
If you find yourself in the situation where you need a free debt management program, be sure you choose a good certified counselor that has your best interests in mind.
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