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Tag: Credit Counselor

Evaluating a Consumer Credit Counselor

Evaluating a Consumer Credit Counselor

Finance
Many Americans feel they're destined to struggle with their debts all alone. But they shouldn't. In fact, agencies exist specifically to help borrowers with debts understand their financial situations and options. Can an advisor really help borrowers better their personal finances? According to research cited by the FDIC, consumers who work with credit advisors “have statistically significant improvements in debt reduction” compared to those who aren't counseled. What can credit counseling do for borrowers?  The study outlines a few potential benefits: Bring more awareness to the reality of household finances Help boost financial literacy for more informed decision-making Boost support and accountability while managing personal finances Use debt management to favora...
What Does a Credit Card Hardship Program Entail?

What Does a Credit Card Hardship Program Entail?

Finance
While the prospect of letting your credit card issuers know you’re struggling with money might seem like a situation you’d like to avoid at all costs, there are certain instances in which it’s more beneficial to be honest than to keep your troubles hidden — and risk falling behind on payments altogether. Believe it or not, sometimes lenders are pretty accommodating when borrowers are having problems. But you will have to have a frank conversation with your creditors to qualify for any sort of hardship program. Otherwise, the bills will keep coming, the interest will keep accumulating and your credit score will keep taking hits. Credit Card Hardship Programs: What to Expect While creditors don’t unanimously offer hardship provisions to cardholders, many do. And, if you’ve never hea...