Article : Why credit counseling often fails?

source : articles.moneycentral.msn.com
By Liz Pulliam Weston

MSN Money

When people are overwhelmed by debt but don't want to file for bankruptcy, I typically recommend they make two appointments:

• One with a legitimate credit counselor, preferably affiliated with the National Foundation for Credit Counseling.

• Another with a bankruptcy attorney.
  
  

I make the second suggestion for a number of reasons.

One is that credit counselors and their debt-management plans, which are designed to pay off credit card debt over five years or so, are geared to steer people away from bankruptcy. Consulting with a bankruptcy attorney can help ensure that those struggling with debt know all their options.

The other, even more important reason: I know that even if you desperately want credit counseling to work, it often won't.

Here are the statistics, straight from the NFCC. Of the 3.2 million people who contacted NFCC agencies for help last year:

• About one-third were able to handle their finances on their own after a counseling session.
• Another third were either too far gone for debt management plans to help, with too little income or too much debt, or had problems credit counseling couldn't help and were referred to social services agencies because of issues such as a gambling problem, alcoholism or other addiction.
• The final third enrolled in debt-management programs (DMPs), but the dropout rate averages at least 45%. ...
  

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Article : Consumer credit counselors – How do they help you?

By Sandy Thomson, your credit counseling news source

Many people don’t know that consumer credit counseling can work as a substitute to filing bankruptcy. Expert credit counselors can educate you on various financial topics and offer debt counseling services after thoroughly assessing your financial condition.

Once you sign up for the services of a consumer credit counseling agency, your debt level would be evaluated by a professional credit counselor. Subsequently, a repayment plan is worked out on the basis of your income and debt level. They would negotiate with your creditors to reduce your interest rates and establish a debt management plan that would help you get out of debt.

How does consumer credit counseling work?

While setting up a debt management plan, your financial situation is comprehensively assessed by the credit counselors. Given below are the factors that are primarily taken into consideration:

• Number of credit accounts you have
• The outstanding balances of those accounts
• The interest rates
• Minimum monthly payments
• Delinquent accounts (if any)

The credit counselor also takes into account how much you earn each month and how much you spend. Taking all these factors into consideration, a debt management plan (DMP) is created to pay off your bills. Every one of your creditors receives this suggested plan for acceptance purposes.

As soon as they agree to the suggested debt management plan, you need to start making payments to the consumer credit counseling agency. As per the DMP, this payment is allocated to your creditors. When you enter a DMP, your credit accounts are usually frozen so that you don’t run up new balances.

Fees of consumer credit counseling services

A host of credit counseling agencies maintain that they’re nonprofit in nature. Even though an agency declares themselves to be nonprofit, you shouldn’t by any means assume that their services are free of cost. More often than not, their services are available to you against a fee. The initial payment made by you might be used to compensate for the fees. On the other hand, some debt management companies might ask for a flat fee which is deducted from your monthly payment. ...

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Article : Missed rate increase opt-out? You have 3 choices

Todd Ossenfort | Posted: Friday, April 2, 2010

Q: I missed the opt-out letter from my bank credit card. I have a $10,000 balance, and my former APR was 9.24 percent, but it was increased to 29.99 percent. I’ve been a customer since 2000. I’ve called several times to ask that my APR be reduced and/or a payment plan, and they said no because my account is current. I pay online and simply missed the opt-out offer.

This is my next to last debt to pay off so, of course, that’s good. I have been using the debt snowball method, which has really accelerated my payoffs. Any suggestions on what to do from here?

The interest per month is around $240, and it’s killing me. Because of the debt snowball method, I can make the minimum payment but just hate to lose so much money each month. I have $2,000 from my tax refund to apply to the card, but just hate losing so much money in the interim.

I have a part-time business that also is helping me pay more than the minimum each month. They told me that, because my account is in excellent standing that they have no programs to offer me, but if I miss a payment or pay less than the minimum, then call back because they will be able to assist me. Of course this is ludicrous to me since all I need is for them to lower my APR back to 9.24 percent.

A: Great job on paying down your debt and reaching the point that you have only one account left to pay off. I understand your frustration and looking at it from just your side, it seems unfair. However, if you were the creditors, you would understand their point of view as well. They decided, for whatever reason, that you were an increased credit risk and needed to change your annual percentage rate (APR) to reflect that.

Your creditors wrote you a letter explaining this decision and gave you the option to close your account and opt out of the increase in your APR. When they did not receive word from you that you wished to opt out, they increased your APR and left your account open.

On the surface, it may seem odd that your credit card issuer will not lower your APR and allow you to pay out your balance at the old rate. The sticking point for your creditors is that they appear to perceive you to be an increased risk and your account remains open — meaning you can increase your balance with additional charges. Because of these things, the issuer believes it must charge you an increased APR to minimize risk.

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Article : Can you really get a free credit report?

Consumer Credit Counseling Service
Apr,02. 2010

KNOXVILLE — A credit score is a vital component of overall credit health, and consumers should be proactive in learning what is in their credit report and how it may affect their score and their ability to secure credit. Consumers should beware, however, of misleading advertisements claiming offers of free credit reports that are a really a sales tactic to get consumers to purchase credit monitoring or repair services, sometimes for a hefty fee.

“Free credit reports, without strings attached, are available,” said Daru Burdge, president of Consumer Credit Counseling Service (CCCS) of East Tennessee. “Consumers need to know where to turn and not be enticed by online offers that promise free reports and then require them to sign up for programs and services that have a fee.”

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Article : 3 On Your Side: Financial Bootcamp

Apr 5, 2010 7:09 pm
PHILADELPHIA (CBS 3)

How well do you manage your money? If you spend too much and save too little in this economy that could spell disaster. But there are people that can help you get on the right track and it won't cost you a cent.

This Saturday Consumer Credit Counseling Service of Delaware Valley is holding "Philadelphia Saves: A Financial Boot Camp for Life. Kim Cooper of CCCS says, "People need a boot camp because it allows them to get a lot of information at one time."

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Article : Consumer Credit Counseling Services

From Deborah Fowles, former About.com Guide

Should You Use Them?
More and more people are turning to credit counselors to help them get out from under a mountain of debt. Some consumers are finding out the hard way, however, that not all credit counselors are created equal.

One so called "non-profit" counseling agency pockets your first month's check, which you assume is being applied to your debts, and calls it a "charitable contribution." Agencies like these may make you wary of seeking help from a consumer credit counseling agency, but if you know how to choose a reputable agency and you exercise a bit of caution, you can benefit from their services.

What Can I Expect From a Credit Counseling Agency?

Just what can you expect from a credit counseling agency? Besides providing general budgeting and money management advice to help you prevent future debt problems, they can negotiate with your creditors to get them to eliminate late fees, extend the term of your loan, or lower your interest rate. If your debt is burdensome enough, the credit counselor will encourage you to enter into a debt repayment plan requiring you to pay a set amount to the agency each month, which they then pay to your creditors.

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Article : The consumer's guide to credit counseling

Credit counselors are falling all over themselves to help you out of debt, but some do more harm than good. Here’s what you need to know, including whether you need it and the red flags for rip-offs.

By Liz Pulliam Weston

Randy is deeply in debt and desperate. He's seen all the television ads from credit counseling services that promise to help him, and he's also been approached by a company that assures him it can painlessly make his debts go away. Is this, he asked me in an e-mail, too good to be true? Often, the answer is yes.

Randy's thinking of entering a world that's fraught with fraud, misrepresentation and controversy. Debt counseling has become a $7 billion industry, but not all the players are legitimate.

The best credit counseling can help people who are behind on their debts get back on their feet. Fly-by-night outfits can disappear with your money, and what remains of your credit rating. In between the two are a whole fleet of operators who may or may not leave you better off than you are now.

read all at msn.com

Article : Debt Consolidation and Consumer Credit Counseling

By Marjorie Salada

Debt consolidation and consumer credit counseling are both ways of eliminating your debt. Consumer credit counseling is actually a form of debt consolidation, but it does not involve a loan. Sometimes the term debt consolidation can also refer to a home equity loan that is used to pay off debt. Debt consolidation refers to a solution that consolidates your debts and allows you to make one monthly payment to cover all your debts.

A debt consolidation loan is a viable means of paying off your debt, but I do not recommend it. If you have credit card debt or are enrolled in credit counseling and do nothing, your creditors can report you to the credit bureau and make numerous collection calls, but that is about it. However, if you have a debt consolidation loan and cannot make the payments, the consequences are much more severe. Your creditor can start foreclosure proceedings on your home. Many people have debt consolidation loans, but there are better ways.

Consumer credit counseling is a form of debt consolidation, but it does not require a loan. Debt counseling is a way for people to get out of debt without incurring additional debt. A debt management agency can help you get on a plan that will help you have your unsecured debts paid off in five years or less. If it takes longer than five years, you may want to consider other debt relief options.

Your credit counselor will interact with you lenders and they will no longer be allowed to make collections calls to you as long as you follow the terms of the plan. There are many benefits to debt consolidation with a debt service. Here are just a few of the benefits you will see by consolidating with a credit counseling agency:

*Reduced and possibly eliminated interest rates
*One convenient payment each month
*No more collection calls
*No more fees
*Budgeting and financial education resources

The biggest part of being successful with a debt management plan is not getting into something that you don't think you can manage. If you are given a quote that you don't think you can handle, you are setting yourself up for failure if you accept the proposal.

Debt relief is something you need to go into with an open mind and the attitude that you are going to do what it takes to become debt free. The most difficult part of getting out of debt is recognizing that there is a problem and asking for the necessary debt help.

source : http://ezinearticles.com/?Debt-Consolidation-and-Consumer-Credit-Counseling&id=1289132

Article : Is a Credit Counseling Service a Good Option to Get Out of Debt?

By Miriam Caldwell, About.com

If you are working towards getting out of debt you may be considering using a credit counseling service to help you reach your goal. You need to be wary of credit counseling services. They may seem an easy way to solve all of your debt problems, but often they are too good to be true.

1. What Will a Credit Counseling Service Do?

When you visit a credit counseling service, a counselor will sit down with you and help you set up a budget. This will require that you cut your expenses. Next they will determine a set amount that you will pay them every month. Often they will do this with an automatic payment. After you pay this amount they will then pay each of your debts individually. ...

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Article : Consumer Credit Counseling Services

By Neil D'silva

What are the functions of Consumer Credit Counseling Services?

Contrary to what most people think, or want to think, about consumer credit counseling services, these services are not just about mere counseling for your financial credit problems. They are much more than that. The following is a list of all the services that the consumer credit counselors will provide to you:-

• Of course, the first service is counseling itself. They will listen to your financial problem carefully. When you are speaking all these things out, you are yourself realizing the extent of the problem you are in. Anyways, the credit counseling services will try their best to counsel you verbally about your financial problems at the outset.
• The next step is to train you in financial management. The credit counseling services will sit with you and discuss how you can better manage your finances. They will prepare a budget for you and your family so that you can make the best use o the income you are getting and efficiently manage the payments you need to make.
• Most importantly, they will tell you of schemes in detail, such as the debt consolidating and debt refinancing plans by which you can solve all your credit problems. Debt consolidation means clumping all your individuals into a single loan which you can pay with greater ease. While, debt refinancing means getting your existing loan renewed through another lender at a cheaper rate of interest. The consumer credit counseling service will coach you in these plans, and will help you implement them too.

Why choose Consumer Credit Counseling Services?

It is very difficult for people who are deep in debt to manage their finances properly. Sometimes, these people might have the financial capacity to come out of their debts, but because they are not managing their loans properly, they are not able to solve the situation. This is where the consumer credit counseling services help. They will actually sit and discuss the problem with you and will tell you of ways by which you can be debt-free.

Most people when they approach consumer credit counseling services, they do not even know what debt consolidation or debt refinancing means. Even if they know about them, they have most likely a very hazy idea about it. It is the job of the counselor to make people aware of these viable solutions to their problems.

Credit counselors also become important when a person is to file for bankruptcy. In fact, the American law has made it compulsory for people to enroll into the programs of the credit counselors before their bankruptcy so that they can seek knowledge of how to avoid this sticky scenario the next time round.

Thus the consumer credit counseling services are not all out there to make a fast buck. Most of them have genuine intentions and a noble way of doing business.

Which Consumer Credit Counseling Services to avoid?

Many credit counseling services are nothing but scams, and you need to avoid them like the plague. Avoid all companies that are not registered with the government. Their programs have no value at all in the courts. Do not go for any consumer credit counseling services who want to push a particular policy of theirs. You must make sure that they are understanding your problem first, and working with you to find a solution for it.

source : http://ezinearticles.com/?Consumer-Credit-Counseling-Services&id=1009856

Article : Avoid Credit Counseling Scams

Avoid getting caught in Credit Counseling Scams! Yes, hundreds of consumers a year get sucked into these counseling scams for improving your credit. But watch out for them. Not all of them are really going to help you. Most just want your money. There are several ways you can be sure that it's the real thing and not a scam....

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Article : Powerful debt pay-down strategies

Friday February 29, 6:00 am ET
Jennifer Maciejewski

Is debt overwhelming your finances? If you have nightmarish visions of being surrounded by creditors, it's time to put down all credit cards, tighten the proverbial belt and start living not only within your means, but under them until you've paid back what you owe. ...read all...

Article : Beware of Consumer Credit Counseling - Debt Negotiators

You've watched the TV commercials, heard the radio ads, saw the web banners and SPAM in your e-mail:

"LOWER your interest rates and payments!"

"Combine your bills into ONE LOW monthly payment!"

"We can eliminate up to 60% of your debt through negotiations!"

Who are those outfits and WHAT will you get?

They promise to reduce your debts and payments, often hyping their non profit status. The non profits are usually funded by the finance industry, the goal is to reduce bankruptcies. Creditors don't want the debts discharged, they rather forgive some interest and fees and collect whatever they can.

I also reviewed some of the contracts for debt negotiators and I was appalled by the outrageous fees charged to the people who would often qualify to discharge their entire unsecured debt through bankruptcy for just a few hundred dollars.

November 4, 2001 Washington Post article:

Easing the Credit Crunch?
AmeriDebt Is One of a Breed Of New Debt-Counseling Firms Whose Business Practices Are Drawing Regulators' Attention

"When his creditors didn't receive that month's payments, Reed said, he was charged late fees, over-the-limit penalties and higher interest rates. "My credit had been absolutely spotless, but now it's ruined," he said."

Paying off your debts will most likely NOT save your credit rating

Bankruptcy is often referred to as the "10 year mistake" by many of these debt negotiating and credit counseling companies.

Of course bankruptcy lowers your credit scores significantly for a few years. However, the credit counseling notation found on many credit reports for people who thought they were doing the "right thing" by paying back almost their entire debt can be worse than the bankruptcy.

Some people are lucky and those notations go away once the accounts are paid off. Unfortunately you can also end up with credit such as the scanned Equifax report below:

• "Consumer Credit Counseling" -- rated similar to bankruptcy
• "30 (or 60) days past due x times" -- LATE payments, while the consumer made EVERY payment on time
• "Pays 61-90 days" -- while the consumer made EVERY payment on time
• "Account closed by credit grantor" - often consumers have to close all accounts when entering the program

FACT: Your credit rating is most likely BETTER 2 years after discharging your debts than 3 years after entering a payment plan.

Yes, there WILL be creditors who won't offer you credit with a bankruptcy, even after several years. BUT, why would you need that credit?

Why would you even WANT a Home Depot charge card with a 20% interest rate when you have $$$$$ in the bank? Remember that when you discharge your debts, you then can start SAVING your money.

So, BEFORE you enter a repayment plan, you MUST get in writing that NO derogatory data will be placed on your credit reports as long as you make your payments on time. Should you find a company who is willing to do that, PLEASE post in the forum or fax that statement to me at (571) 222-1000.

........ read all from the source : bayhouse http://www.bayhouse.com/credit-counseling.shtml

Article : Common features of Debt Management Programs

After joining a DMP, the creditors will close the customer's accounts and restrict the accounts to future charges. The most common benefit of a DMP as advertised by most agencies is the consolidation of multiple monthly payments into one monthly payment, which is usually less than the sum of the individual payments previously paid by the customer. This is because credit cards banks will usually accept a lower monthly payment from a customer in a DMP than if the customer were paying the account on their own. Some DMPs advertise that payments can be cut by 50%, although a reduction of 10-20% is more common.

The second feature of a DMP is a reduction in interest rates charged by creditors. A customer with a defaulted credit card account will often be paying an interest rate approaching 30%. Upon joining a DMP, credit card banks sometimes lower the annual percentage rates charged to 5-10%, and a few eliminate interest altogether. This reduction in interest allows the counseling agencies to advertise that their customers will be debt free in periods of 3-6 years, rather than the 20+ years that it would take to pay off a large amount of debt at high interest rates.

A third benefit offered by credit counseling agencies is the process of bringing delinquent accounts current. This is often called "reaging" or "curing" an account. This usually occurs after making a series of on-time payments through the debt management program as a show of good faith and commitment to completion of the program. For example, a client with an account with a monthly payment of $50 which has not been paid in two months might be considered by the creditor to be 60 days past due. After joining the DMP and making three consecutive monthly payments, the creditor could reage the account to reflect a current status. Thereafter the monthly payment due on the statements would be the monthly payment negotiated by the DMP, and the account report as current to the credit bureaus. It should be noted that this process does not eliminate the prior delinquencies from the credit bureau reports. It merely gives a fresh start and an opportunity for the client to begin building a positive credit history. Like all derogatory credit information, the passage of time will lessen the impact of the negative marks when credit scores are calculated.

source : http://en.wikipedia.org/wiki/Credit_counseling

Criticism of credit counseling (USA)

In the late 1980s and early 1990s, the number of credit and debt counseling agencies in America increased significantly. An antitrust lawsuit was filed against the NFCC, arguing that the presence of creditors on the NFCC’s Board of Directors constituted monopolistic practices. As a result of this litigation, creditors agreed to fund non-NFCC member agencies as well.

These sharp increases of credit counseling activity also created other, more serious issues in the industry. By the early 1990s, abuses by certain credit counseling organizations were so significant, it led to criticism of the entire industry.

A credit counseling agency typically receives most of its compensation from the creditors to whom the debt payments are distributed. This funding relationship has led many to believe that credit counseling agencies are merely a collections wing of the creditors. This fee income, known as “Fair Share,” are contributions from the creditors that originally earned the agency 15% of the amount recovered. However, in recent years, Fair Share contributions have dwindled steadily, with contributions of 4-10% being the most common.

Still the NFCC considers bankcard companies to be one of their primary "constituents," and the NFCC website promotes the fact that they collect $5 billion for creditors each year. It also promotes their efforts to steer consumers away from bankruptcy.

The Federal Trade Commission has filed lawsuits against several credit counseling agencies, and continues to urge caution in choosing a credit counseling agency. The FTC has received more than 8,000 complaints from consumers about credit counselors, many concerning high or hidden fees and the inability to opt out of so-called “voluntary” contributions. The Better Business Bureau also reports high complaint levels about credit counseling.

The IRS also has weighed in on the subject of credit counseling, and has denied nonprofit 501(c)(3) tax-exempt status to around 30 of the nation's 1000 credit counseling agencies. Those 30 credit counseling agencies account for more than half of the industry's revenue. Audits of non-profit credit counseling agencies by the IRS are ongoing.

The lobby against credit counselors arises from the belief by the collection industry that the not-for-profit status of the credit counselors gives them an unfair financial and market advantage over them. The IRS apparently agrees. The tax exempt revocations seem to be centered around whether a tax exempt credit counselor actually performed their mandated mission by assisting the community at large, other than their whole attention to their own DMP customers in a "collection practice" (no one knows for sure however).

Congress has also investigated the credit counseling industry, and issued a report that said while some agencies are ethical, others charge excessive fees and provide poor service to consumers. The report also stated that NFCC member guidelines, if applied to the entire credit counseling industry, would go a long way toward eliminating the abuses they uncovered in some parts of the industry.

Other organizations have voiced criticisms of the credit counseling industry, often citing the Fair Share funding model as evidence that credit counselors serve the interests of the creditors over the interests of consumers, and that credit counselors are not forthcoming in speaking out about the actions of creditors for fear of losing what little funding remains. Credit counselors respond that their job is not to take sides but to negotiate with all parties equally to help successfully resolve debts. They further argue that the steady decline in Fair Share funding belies the notion that creditors are in control of the credit counseling industry.

Another common criticism of credit counseling is the assertion that participating in a Debt Management Plan will ruin a consumer’s credit. Fair Isaac Corporation, the company that pioneered the use of credit scores, states that participation in a Debt Management Plan has no effect on a consumer's FICO credit score. However, the participation in such a plan does appear on consumer credit reports, and the client may have more difficulty obtaining a car or home loan and be denied any further unsecured credit, such as a credit card. This is because lenders often use multiple risk factors to determine creditworthiness. While credit card banks offering relatively low-credit-line cards may use a credit score alone to approve a new account, a mortgage or car lender typically will scrutinize the entire credit report more extensively and verify employment and income information. Some lenders view a prospective customer's participation in a Debt Management Plan as indicative of the customer being unfit to manage their finances.

Additionally, mortgage loans backed by federal programs such as HUD or FHA have additional government underwriting guidelines in addition to the lender's own policies. HUD/FHA states their position on credit counseling is neutral and that a factor they will consider is whether the client has been adhering to the payment plan initially established through the credit counseling agency.^[1] The FHA recommends credit counseling programs to those who fear being denied a mortgage loan due to credit approval.^[2]

Counseling agencies have also been criticized for understating their clients' future responsibilities during the initial enrollment process. Agencies have been accused of telling clients to stop paying creditors directly and cease all telephone contact with creditors. This can result in accounts falling past due during the period that the client transitions into the DMP. Many clients come to the DMP with current accounts; they are simply seeking lower interest rates rather than needing help bringing their accounts current. It takes the average DMP 1-2 months to start making disbursements to creditors, during which time the accounts will fall past due if the client does not continue making direct payments to the creditors. Often this is impossible, however, because the client cannot afford to pay the DMP an advance payment as well as pay the creditors the normal monthly payment amounts. In this way a client's credit can be damaged as the accounts unintentionally fall past due.

Given this criticism, the industry is likely to be changed forever in the immediate future as it is scrutinized by both the consumer and government regulators over how they will be paid for the services they perform. In meantime, there will be no shortage of debt-burdened consumers who will now be facing a burgeoning, and more traditional, collection industry.

It should also be noted that many credit counseling services employ people hired off the street who are then trained in credit counseling. Thus the person helping you may not have any formal training in financial management other than what they received when they got hired as a credit counselor. This training is usually minimal and focused only on the services provided rather than a full course on financial management.

source : http://en.wikipedia.org/wiki/Credit_counseling

Cautions regarding credit counseling (Canada)

The Financial Consumer Agency of Canada (FCAC) advises Canadians to do their homework about credit counseling services before entering into an agreement. According to the Agency, consumers should shop around and compare services of credit counseling bodies and take note of the different fee structures of for-profit and not-for-profit credit counseling, as well as what services are offered for those fees. Consumers considering entering into a DMP should also be aware that an R7 credit rating will be entered in their credit report and that their credit report will show that they used credit counseling, a notation that will remain on the report for at least two to three years. Prospective lenders, employers and landlords may view information in an individual's credit report, if the application forms consumers sign grant them permission to do so.

source : http://en.wikipedia.org/wiki/Credit_counseling

Article : Consumer Credit Counseling Services

By Cindy Holbrook

Real Estate Plus Editor

Does the dream of owning a home seem impossible? Are you struggling to make ends meet? Are your bills bigger then your paycheck? Are you only able to make the minimum payments on your credit cards?

Consumer Credit Counseling Service (CCCS) a local, nonprofit credit counseling agency, can help you solve your credit and debt problems. Our certified credit counselors can show you how to take control of your money and achieve your financial goals. Consumer Credit Counseling Service is a program of Lutheran Social Services of Mid-America and a member of the National Foundation of Credit Counseling.

Debt Management Program - Get out from under you financial burdens and set a course for a debt-free future through our Debt Management Program. The first step is to contact us by phone, email or website. We will send you a worksheet to complete, which includes your income and expenses, and a list of your creditors. Then contact us for an appointment. At your confidential appointment, a certified counselor will complete a budget assessment by reviewing your income, expenses, and debt levels. They will assist with identifying problems and the need for appropriate referrals. You may find that assistance with financial management is all you need to get back on track.

However, many people find they will benefit from our Debt Management Program, where we work with creditors to reduce monthly payments and interest to affordable levels until your debt is paid in full. As the only local credit counseling agency in the Miami Valley, you have your choice of in-person, telephone, or internet counseling. So, if you feel you are getting overextended, give us a call. We can’t help you if you wait too long.

Credit Report Reviews - Uncover the mystery of your credit report. These confidential sessions will explain your credit report, help you identify and address any problems and show you how to protect yourself from identify theft.

Consumer Education Programs - Learn more about a wide variety of consumer financial topics through our educational programs. A large selection of classroom and community presentations covering topics like budgeting, credit, debt management and banking basics is available.

Default Mortgage Counseling - Bring your mortgage up-to-date and keep it that way. Through individual counseling sessions we’ll help you explore all the possible solutions to prevent losing your home and analyze your cash flow to see how your income stacks up against your expenses. We’ll try to negotiate a solution with your loan provider. And we’ll help you prioritize your debts to avoid a situation like this in the future.

Springfield Office - Consumer Credit Counseling Service, 204 N. Fountain Avenue, Springfield, Ohio 45504, 937-325-2898 or 1-800-377-2432. Website: www.cccsmv.org.

The above information was provided by Consumer Credit Counseling Services of Miami Valley.

USDA Funding

U.S. Department of Agriculture (USDA) offers an exciting loan option in mortgage financing for eligible home loans: NO DOWN PAYMENT HOME LOANS. The loans are provided through USDA©ˆs Rural Development Program, and are available to purchase homes located in rural areas. Also, with the USDA loan program, your monthly payment may be subsidized, lowering your monthly payment and increasing the loan amount for which you are eligible. The objective of the program is to help lower income families or individuals who do not qualify for a home loan through conventional financing. This allows people to purchase a home now rather than later or in some cases, never. With the use of these no down payment loans and the payment subsidy, thousands of families who could not afford a home through conventional lenders now enjoy owning their own home. For further information, please contact the Hillsboro Office USDA Rural Development at 514 Harry Sauner Road, Hillsboro, Ohio 45133, or at (937) 393-1921.

Appeared in the March 12, 2006 issue of Real Estate Plus

source : http://realestate.springfieldnewssun.com/springfieldnewssun/featuredarticle.jsp?pg=featuredarticle20060312_2.htm

Article : Who needs Consumer Credit Counseling?

by Randi Foerde

In fact, I think everybody could need Consumer Credit Counseling. All who have to deal with money in our complicated society could need to have a talk with a credit counselors at a Consumer Credit Counseling Agency . And that's the most of us, is it not? For some, not because they are in trouble, but to be sure they never will be. For others, they are already in trouble with their finances, and will sure need some help. If it is not to late.

There are many out there who want to sell you Consumer Credit Counseling services. Before you choose one, ask what they cost? If you are in financial difficulties, don't get deeper because you are getting services that cost you to much, more than you can pay.

Since the late 80s and early 90s, the number of credit and debt counseling agencies in America increased significantly, and many of them are not working for their clients first, but for themselves, second for you. As the marked of people with money problems grows, so do the group of helpers, Consumer Credit Counseling and others, grows too.

Therefor, look out for them who is there mostly to get your money and don't care too much if you are getting into deeper trouble. If you smell them, run as fast as you can.

Organizations who have criticised the credit counseling industry, say that credit counselors serve the interests of the creditors over the interests of consumers. Credit counselors respond that their job is not to take sides, but to take care of all parties equally to help resolve debts.

But my main point is; you can sure get help from Consumer Credit Counseling if you use a little time to find the right one. You can even get help from the reading books. Some authors know their stuff, and have helped a lot of people without needing to pay a lot for Consumer Credit Counseling.

To become in need of Consumer Credit Counseling is a shame to some. Don't feel that way! Everybody may need help now and then. What may be worth being shameful for is not seeking help. There is help for all, whoever you are, and some counseling are non-profit Consumer Credit Counseling.

source : http://www.consumer-credit-counseling-site.com/