Early Credit Counseling is Key
February 12, 2008
Consumers who are facing issues with their debt payments should make it a priority to seek credit counseling as soon as possible. Many consumers wait too long before seeking professional advice on the debt. This can lead to many problems that might otherwise have been avoided had assistance been more timely.
Melanie Colvin, debt management coordinator for Consumer Credit Counseling, has some startling news on consumer debt. “The average credit card debt we’re seeing these days is $45,000,” she said. “Some families have debt as high as $75,000 or more.”
What may be surprising to many is that this debt is not always caused by “frivolous” spending. “They’re not buying widescreen TVs,” Colvin said of the clients she sees. “They’re having to use the credit card for daily living expenses.”
Consumer Credit Counseling is a division of Family Services Inc., a United Way agency. It offers free assistance for people facing foreclosure and other financial problems.
Agencies such as Consumer Credit Counseling can help consumers who are in deep debt by offering important assistance and guidance. There are other agencies such as this one, and many of them can be found locally or online. They often help consumers to create workable budgets, and they can, in some cases, help consumers to work with credit card companies or mortgage lenders to reach payment agreements that the consumer can meet.
“The worst mistake people make is waiting too long to seek help,” she said. “Very few are in a situation where they can’t be helped, but it’s much harder to do the more time has passed.