Drug testing

Choosing the Right Credit Counseling Agency for You ? Some Tips Part 2

Credit counseling companies come in all shapes and sizes. Whether you are looking at working with a local credit counseling organization or a national credit counseling organization there are some very important factors to calculate before choosing the right credit counseling option for you. Here is a list of questions for you to ask a credit counseling company before determining whether or not you should participate with their organization.

Licensing Requirements-

Credit counseling organizations are held to certain standards by state regulatory officials. Credit counseling organizations are required to adhere to state licensing requirements. It is important that you ask the credit counseling organization if they are compliant and able to offer credit counseling services in your area. Keep in mind though, that although a majority of states have requirements for credit counseling organizations not all do. You may want to check your particular states finance and banking department if you have questions regarding the status of the credit counseling organization you are speaking with.

Credit Counselor, or Not?-

Credit counseling has been around for years. However, recently credit repair or debt settlement companies have sprouted up everywhere. Credit counseling has a proven record of working for consumers. Recently credit counseling organizations have come under fire from the press and IRS due to a few bad seeds. These companies were not credit counseling to its truest form. Credit counseling was created with the consumer in mind, some companies failed to recognize that.

Along with the credit counseling industry in a little turmoil over the bad seeds more and more credit repair companies making false claims came along. Credit counseling took a hit for that although the two practices are entirely different. Then you have debt settlement. Debt settlement companies claim they will have your debt paid off in a short time. It would be nice if they were paying it all back, but they are not. You also get extremely past due and your credit can be ruined for a long time. Sometimes these companies call themselves credit counselors. Credit counseling is for the best interest of the consumer. Make sure to ask the organization you are speaking to if they are a credit counseling organization. Ask if they have certified credit counselors staffed.

Non-Profit-

Credit counseling organizations typically hold a 501c3 status with the IRS. This means that the credit counseling organization carries a non profit status with the IRS. Credit counseling organizations that utilize the non profit status are held to higher standards by the IRS. There are caps on the fees they can charge and it is expected that the credit counseling organization is designed to educate the public about debt. Not all non profit credit counseling organizations use the non profit status for the best of the client. Check with the credit counseling company you are thinking of working with and ask them if they are a licensed non profit credit counseling organization. Then ask them what they do to earn that status. If a counselor can not tell you it may be an indicator to look for another credit counseling organization to work with.

Rick Munster is the Media Planner for Debt Reduction Services, http://www.debtreductionservices.com. When he's not busy developing a media plan he enjoys writing or getting away to mountains for a little fishing and hiking.

limousine chicago service
In The News:

Credit Counseling -- Why It Doesnt Work For Most Debtors

"Cut Your Payments in Half!" the headline screams. "Consolidate Your... Read More

Free Credit Reports Now Available From the FTC

The Federal Trade Commission (FTC) has set up a new... Read More

Credit Cards

Credit cards are a form of unsecured credit. The issuer... Read More

How To Get Out Of Credit Card Debt

If you're like the average person, let me warn you... Read More

All Is Fair In Love, War, and, Your Credit Report - At Least It Should Be! Understanding the FCRA

Fact: Over 150 million Americans have credit report with the... Read More

Small Business Credit Cards

So what do you look for when applying for a... Read More

FREE Credit Report Offer - Careful, It Might Carry Hidden Charges

FREE credit checks or free credit reports. What are they... Read More

The Credit Card Surprise That You Need to Look Out For

Companies that issue credit cards want to make a profit.... Read More

Low Interest Credit Cards: A Thing of the Past?

With interest rates rising, low or zero percent credit cards... Read More

Compare Credit Card Offers and Reward Yourself

Here's a simple system on how to pay zero interest... Read More

Some Truth About Credit

Credit is currently and has been historically an integral component... Read More

Read and Understand Your Credit Card Statement

Have you ever looked at your credit card statement and... Read More

Stop Credit Card Offers

You can stop receiving credit card offers in the mail!... Read More

The Right Way To Credit Repair

If you have a bad credit rating, then you might... Read More

Online Credit Report and Online Credit Reports

Online credit reports are easily accessible to those interested in... Read More

Have You Ever Opened a Checking Account?

Maybe some of you are saving it in your trusty... Read More

Fun with Credit Cards

For those of us who know how to use them... Read More

Is Your Credit Score Costing You Money?

Most of us want a good credit report to obtain... Read More

The Hazards Of Your First Credit Card

You probably don't need me to tell you credit cards... Read More

Top 7 Factors to Consider While Reviewing Credit Card Offers

Credit cards have migrated from being hip or convenience product... Read More

10 Tips To Prevent Credit Card Fraud

Imagine opening your credit card statement one morning and discovering... Read More

It Takes Credit To Build Credit

Using a credit card wisely is an important step in... Read More

The Advantages of Credit Cards

There are many evils associated with credit cards, but there... Read More

Discover the Parts of a Credit Report and What They Mean

So you ordered a copy of your credit report to... Read More

Secured Credit Cards- Consumer Tips

Whether you have no credit or damaged credit, secured credit... Read More

led light bulb replacement wind power street lights Pete's produce ..