January 13,2009
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Other CC Fears You May Have, Pt.3 –
– Credit Card Councilors."If I seek credit counseling, won't this hurt my rating?":
Not usually. Many people are afraid to get help for fear that their credit card troubles will be exposed. This is rarely the case. By far, more who seek counseling are better off then those who can't help themselves but don't seek it. Just make sure that they're a reputable accredited credit counseling agency. There are a few scammers out there. Your personal and sensitive credit card debt problems are held in confidence and only that which is already on the table will be shared. Even then, only with your approval.Developing a budget and an action plan are always healthy first steps. Competent counselors will usually know of better options for you that, otherwise, you would miss out on. In extreme cases, however, you may agree that reducing your credit card principle (by as much as 70%) is best for you, even if it will hurt your credit score. You may not have options to save your credit card score anyway but, the choice is up to you.
Afraid to ask for help from credit card lenders: As long as you do this early on, this is normally the best way to go. Whatever you do, though, don't ‘spook' the lender. There are cases where the lender became alarmed and helped by immediately closing the account. This is a new approach and lenders are more giddy than usual. If you must not risk losing the card, you still have the fallback of qualified and certified credit card councilors. They're readily available on-line. Once you're in deep trouble, you may want to consult these councilors first. They know best how to deal with lenders.
If you still prefer to go it on your own, they checkout some of the helpful do-it-yourself credit card counselors like: BillShrink.com, CardHub.com or Mint.com.