February 11,2009
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Enlisting Reputable CC Help, Pt.2
Negotiators, Councilors & Licensure.Negotiators: When enlisting a credit card debt councilor to help you get out of debt and salvage some of your credit rating, there are a few guidelines that you may want to be aware of. Just going into it blindly entails a strong possibility that you will be worse off in the end than you were at the start. First, realize that there are many different types of credit card ‘advisors' in the mix that will promise they can cut your credit card bills in half or better. Sometimes this may be true but, be leery if they don't also advise you of the risks that you're undertaking with their process. The risk is not theirs, it's yours. They are called 'debt settlement/negotiation companies'. If you decide to take the safe route then, stay away from these tactics.
Reputable and safe route: There are many reputable organizations, comprised of qualified financial and credit card debt councilors to be found. The good news is that many operate as non-profit and are legally registered as such. Their credit card debt counseling services, by definition, are free and they are very competent. Two referral agencies for finding them are: "LSS Financial Counseling Service" and "National Foundation for Credit Counseling". You can reach the first at www.CCCS.org or by calling 1-888-577-2227. The second can be reached at www.NFCC.org or by phone at 1-800-388-2227. It is usually a good idea to select a list of prospects and check each with the BBB (Better Business Bureau). They can be reached at www.BBB.org or 1-800-646-6222 by phone.
Licensure is important: Anytime you allow a company or organization to handle your finances, credit card or otherwise, it very important to protect yourself. So, before getting involved with any organization for that purpose, always check the status of their licensing with the government. The BBB can also help you with this. Note that not all agencies are required to be licensed (state or federal). This should be a red flag for you. You need secure protection over someone's sales pitch.