The Differences Between NonProfit Credit Counseling and For-Profit Services
Nonprofit credit counseling organizations receive funding from voluntary contributions from creditors. This allows these agencies to provide services to anyone, regardless of income level, at a lower cost. While the nonprofit credit counseling agencies do charge fees, these are minimal and for those in severe financial hardship, fees are often waived. No one is turned away because they are unable to pay or even when they are simply shopping around for effective debt management solutions.
In contrast, a for-profit credit counseling service’s fees are much higher, because the goal is to make money. Additional funding sources are not available, either, to offset any costs to the customers.
NonProfit Credit Counseling for Financial Hardships
Nonprofit credit counseling agencies offer a wide range of services, from consolidating your debt to bankruptcy counseling. By the time a client is considering bankruptcy, their financial burden has grown out of control. The client feels great pressure and desperation, and wants to find an easy, quick solution to release the heavy debt load. Talking to a professionally trained counselor at a non-profit credit counseling organization like American Consumer Credit Counseling (ACCC) can help the client weigh the options and often find a much better solution than filing for bankruptcy.
ACCC is approved by the Department of Justice to provide pre-bankruptcy credit counseling when you are considering filing. During this session, a certified counselor will review your current financial situation and help you set up a realistic, manageable budget. The counselor will also talk about the different types of debt repayment options that are available, including bankruptcy, along with the advantages and disadvantages of each. When the session ends, you will receive a credit counseling certificate to submit to the courts if you decide to proceed with bankruptcy.
For those who file for bankruptcy, ACCC also is authorized to provide post-bankruptcy debtor education. During this two-hour session, your counselor focuses on how to maintain control of your finances after bankruptcy. After this session, you receive another bankruptcy certificate that must be filed with the courts before your debts can be discharged.
Talk to ACCC about Your Credit Counseling Needs
Whether you’re looking for advice on consolidating your debt or information on reverse mortgages, ACCC is the place to come for all of your nonprofit credit counseling needs. We can provide advice on buying a home, getting student loans, and even share tips on how to talk to your children about managing credit wisely. And our pre-bankruptcy counseling services have helped hundreds of clients make the best decisions about whether bankruptcy was indeed right for them.
Our counselors are standing by, waiting for your call. Why not take the first step toward financial freedom and pay off debt?