If you suspect that you cannot get a decent loan because of your credit, or
would like to qualify for a better interest rate than you would with a cloud on
your credit, there are steps that you can take right now.
A number of credit services, some funded by debt carriers, offer
personalized service to help you organize your funds and reduce or pay off your
debts. Depending on the exact nature of your credit problem, you may be able to
get quick help, or you may need counseling, assistance, and a plan to follow.
Taking the first step is the important thing. The worse your credit is, the
longer it may take, but you will definitely feel better when you whittle away
at your mountain of debt and unpaid balances. The trick is to manage your
credit rehabilitiation in a way that improves your credit score, one of the
means your credit is rated.
The Consumer Credit Counseling Service
(CCCS) provide free professional
counseling and some low cost services including budget counseling, debt
management planning, educational services, housing counseling, and phone and
mail counseling.
Debt management counseling will help you determine how much you really can
afford to pay on your bills; arrange affordable repayment plans that creditors
will accept; and develop a personalized budget.
Of particular interest is housing counseling that the service offers. The
CCCS is HUD-Certified on the home ownership readiness; default resolution;
delinquency and foreclosure prevention, and rent/lease delinquency.
You can find more help at Debt Counselors of
America which has an estensive list of free editorials and suggestions
about controlling debt and offers numerous programs that assist in debt
restructuring. which offers a variety of publications and debt restructuring
programs, including programs for people who are current on their bills as well
as for those who are behind.
Like the CCCS, the National Foundation for
Consumer Credit is funded by lenders, credit unions, community groups and
other contributors. This nonprofit network also provides credit and debt
education and counseling for repayment and debt restructuring.
Published: February 9, 1999
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