Credit counseling offers consumers a chance to learn exactly where they are with their debts and how they can get to a better place financially. Although many of us might feel nervous or intimidated by having to talk to someone about our financial situation, credit counseling can provide you with valuable advice that you might need. More importantly, counseling can help you make informed choices about your money and give you peace of mind.
Financial Overview
Depending on which methods are used, a credit counseling session can go in a few different directions. In general though, credit counseling starts with a session that is used to analyze your debt and budget to determine the easiest and most effective way to eliminate debt.
Credit counseling requires you to be upfront about your finances. Your counselor will need to know exactly where you stand so they can determine what you need to focus on and provide you with adequate advice. This requires an accurate account of your monthly income and expenses, as well as a detailed list of who you are paying each month. Bring your billing statements for each creditor and account that you are responsible to the session, the credit counselor will need this information to gain a better understanding of the balances that are due, minimum payments owned, and your interest rates.
Overview of Solutions
After the credit counselor has a better picture of your finances and debts, they will be able to provide you with an overall financial analysis. The counselor will outline all of your options for eliminating debt in the fastest way possible that suits your particular financial situation. A credit counselor can “run the numbers” for you and determine what it will take for you to become debt-free from credit cards and other financial obligations within a specific time-frame. In addition to a creating a personalized plan to help get you out of debt, they can also provide you with reference materials that will help you continue being proactive about your finances and prevent future debt problems from arising.
Do you have more questions or concerns about credit counseling? We can help. Contact our Jacksonville team of bankruptcy attorneys to schedule your free initial consultation today.