Credit counseling agencies provide personal financial education, budgeting advice, money management workshops, and debt management plans. Counselors should be certified and trained in the areas of consumer credit, money and debt management, and budgeting. When searching for a credit counseling company, you should look for a non-profit to work with. There are many non-profit credit counseling companies that you could work with, but how do you know if credit counseling is right for you?
Reaching out to a credit counselor
If you’re having trouble managing monthly bills, take the first step by reaching out to a certified credit counselor who will work with you to gain an in-depth understanding of your unique financial situation and develop a personalized plan for moving forward. Credit counselors provide unbiased advice for your individual financial situation and offer practical solutions to meet your needs. The National Foundation for Credit Counseling, or the NFCC, is a great place to start your credit counseling search. The NFCC is the largest non-profit financial counseling association in the United Sates. Navicore Solutions is an NFCC certified counseling agency that can help put you on the path to financial success.
Many people are initially hesitant to reach out to a credit counseling agency. Do a little research when searching for a credit counseling company to help you learn more about what credit counseling can offer. This will help you become a little more confident to make that call. When you reach out to a credit counselor, you will not be judged for your financial situation. Counselors are here to listen with compassion and highlight the best solutions for the areas you need help in.
The initial call will help determine what your options are for your personal financial situation. You’ll also receive resources to help you make better financial decisions moving forward.
The Credit Counseling Session
A counseling session allows a certified counselor to take an in-depth look at your financial situation. By reviewing your finances, your counselor can determine the solutions that will best benefit you and your individual needs. Once the counselor has become familiar with the events that have led up to your current financial situation, they will speak with you about your monthly spending plan. With your permission, the counselor will pull your credit report and discuss solutions that will fit in your budget. If you qualify, you may be eligible for a debt management plan.
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Debt Management Plans
A debt management plan is carried out by a non-profit credit counseling agency that helps you lower your interest rates and monthly payments depending upon which credit accounts you have. The plan allows clients to repay their unsecured debts within a certain period of time, usually 3-5 years. Plans are specifically designed for each individual client. This is a creditor-approved repayment plan that focuses on unsecured debt. It is a structured repayment plan to fit each client’s budget until their debt is paid off.
If you’re working with Navicore Solutions to pay off your debt, we’re here for you throughout your debt management plan. It’s easy to contact our customer service department whenever you have a question or concern about your plan. Just like counselors, customer service specialists handle every client call with empathy, and can be trusted to get client concerns addressed.
Other counseling services
Non-profit credit counseling agencies provide services other than credit counseling, Navicore also offers budget, housing, disaster recovery, student loan and bankruptcy counseling, and education. Financial education is also considered part of our financial scope. The foundation of counseling rests in consumer education. All of our counselling services are supported by educational materials that are provided to our clients.
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Credit counseling vs. credit repair
It can be complicated to differentiate between credit counseling and credit repair. In fact, many people lump the two together and think they are the same thing. However, the two provide different ways to get your credit back on track. Credit counseling is a resource and education service for people who are having trouble managing their debt. Credit repair services focus primarily on consumers who are in a bad credit situation. These services focus solely on bad credit and trying to make changes to that person’s credit rating.
Finishing your debt management plan is a great feeling. At Navicore, we are so proud of every client who completes their plan. Once you’re debt-free, it’s important to remain that way. One way to remain debt-free is to start a savings fund. Take half of your previous credit counseling monthly payment and put it away into your savings every month. This will allow you start creating an emergency fund that will help you stay out of debt in the future. The better prepared you are for unexpected expenses, the easier you’ll be able to manage if something were to happen. Create a budget and try to stick to it as much as possible. This will allow you to stay consistent with the improved financial habits you’ve learned while on your debt management plan. Most clients have worked hard to finish their debt management plan and are not looking to go back to a life in debt.
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Credit counseling can change your life because the burden of unmanageable debt is lifted. Just being able to afford to order dinner out for your family can be a small moment of success. Steady progress on a Debt Management Plan can create a life with many small financial wins until you realize your financial life has changed for the better. It’s smart to seek professional help from a credit counselor to help pay off your debt if you’re in over your head. Don’t wait; contact a Navicore certified credit counselor today.