Posted on
April 7, 2009
at
12:52 am
What is the meaning of debt counseling?
Posted on
February 11, 2010
at
3:42 am
The meaning of debt counseling varies but it is associated, if not synonymous, to credit counseling
Posted on
February 11, 2010
at
3:43 am
The meaning of debt counseling - credit counseling - also known as The Debt Management Program, credit counseling is a consultative service offered to consumers with excessive debts. It is an option which may suit many individuals better than bankruptcy. Some credit counseling services charge a nominal monthly fee but the non-profit ones are free. It has a negative image with the public and the government for its conflict of interest. Many people suspect that this program is just the creditor’s collection arm, but for all its faults, its
Debt Management Program, at the very least offers consumers a way out of debt by helping them get their act together. The program teaches budgeting and fund allocation.
Posted on
February 11, 2010
at
3:47 am
How does it work? And are there other debt relief programs that offer debt counselingas well?
Posted on
February 11, 2010
at
4:03 am
The program’s first step is to determine the consumer’s credit standing. If the consumer is serious about getting out of debt, it is imperative that he/she declares all income, liabilities, and debts (credit cards, medical bills or loans). The consumer is also going to be asked where the money was spent, and for what purposes. This information is then used to pinpoint the source of the excessive spending and borrowing so that it may be uprooted and give the consumer a better understanding of their financial situation and what brought them to this point.
Posted on
February 11, 2010
at
4:16 am
I believe customer no. 5 is asking if debt settlement (another debt relief program) offersdebt counseling as well - I'll answer it, YES. The next question though is -How is credit counseling different from debt settlement?
Posted on
February 11, 2010
at
4:18 am
How is credit counseling different from debt settlement?- Although both program offers debt reduction, decrease in interest charges, and escape from possible law suits, the difference may lie in just how much the consumer can afford to pay. Consumers who are trying to get into credit counseling usually do not have enough money to qualify for a debt settlement. The profit-oriented credit counseling company offers consumers very affordable payment methods, which may not be a good thing in the long run, because debts that sit for longer periods of time, translates into higher finance charges.
Posted on
February 11, 2010
at
4:31 am
What are the advantages and disadvantages of debt counseling (credit counseling)?
Posted on
February 11, 2010
at
4:35 am
How would the consumer know if he/she needs debt/credit counseling?
