Consumer credit counselling involves educating consumers on managing their finances. Consumers are learn how to avoid or get out of debt, how to create wealth and how to achieve financial freedom and prosperity. The goal is to help them get over financial difficulties through budget counselling, enrolling them in debt management programs and keeping them on the right financial track once they are debt-free.
There are different types of counselling services. One client may need help with making the most of their finances to be able to acquire assets while another may need help because they are on the verge of bankruptcy. The help that is given depends on the particular circumstances a client is facing.
There are three reasons why consumer credit counselling works:
It saves time, money and credit scores
By the time a client seeks consumer credit counselling, they are in some form of financial crisis. In these cases, time is money. With every passing day, the problem gets worse as credit card balances accumulate interest daily and creditors keep calling and perhaps consider taking legal measures to recover what is owed to them. In essence, credit counselling stops the clock ticking through the solutions that are prescribed and measures that are taken to implement them. A credit counselling company can put a client into a debt management program, like debt consolidation or filing a Consumer Proposal, to give them more time to pay back what they owe based on what they can afford. With such measures in place, a client can see the end of the tunnel in terms of being free from debt. It will also stop creditors from taking legal measures which leave a long-standing dent on a client’s credit history and score.
Dealing with creditors
Before creditors come calling, a period of time will have elapsed during which they will have sent more than a few reminder letters, emails and perhaps calls and messages. When creditors still don’t see their money, they come calling at your door and become more aggressive. At that time, things will most likely be out of hand. Another reason that consumer credit counselling works is that it takes off the immense pressure of dealing with creditors. Counselling will involve enrolling a client in a debt management program which will have the counselling company deal with creditors directly.
It presents unknown options
There are options that consumer credit counselling can present that you didn’t know about such as debt consolidation and debt settlement services. Those who need help to get out of debt may be considering declaring bankruptcy because they don’t know that there are other options, such as having the counselling company renegotiate a new payment plan. The company can also negotiate having interest owed reduced or eliminated altogether. Counselling can also present a client with options they might not have considered through personal budgeting education and educational seminars on managing finances to remain debt-free and achieve financial freedom.
The best service
There are different consumer credit counselling companies and each operates differently. Credit Counselling Services of Atlantic Canada (CCSAC) has built a reputation as the credit counselling company of choice. Since 1994, Canadian families and individuals have found and maintained their financial footing with the help of CCSAC. Counselling is done by certified counsellors who will serve everyone who needs their help. Contact a CCSAC counsellor via chat, phone, email or a face-to-face consultation and get a customized solution that will guide you to achieving your full potential.