Home > Blog > How Does Credit Counselling Work and When Do I Need It?

How Does Credit Counselling Work and When Do I Need It?When you look at the bills piling up, do you wonder if you will ever manage to pay everything off? Whether you are an individual, a family, or a business owner looking for solutions to your financial load, there are a number of things that may provide solutions for you. One such method for overbearing debt is that of credit counselling with a professional financial team. If you have heard of credit counselling, but you aren’t sure how it works, here are a few of the benefits it can provide:

  • Lower Interest Rates – Are you constantly making payments on one or more loans, but you never seem to make headway due to high interest rates? Credit counselling is a good way to have a finance professional intervene on your behalf to determine whether interest rates may be lowered, allowing your payments to achieve better results.
  • Debt Forgiveness – Another way credit counselling may be beneficial is by negotiating a debt settlement. This means the company to which you owe a debt may now consider your debt forgiven. While it may be difficult to achieve this on your own, having a professional inquire on your behalf may produce more efficient results.
  • Loan Consolidation – Do you feel like you make lots of smaller payments, and it would be easier if you didn’t have to keep up with so many? Credit counselling may offer the opportunity to consolidate your debts into one lump payment, so you can enjoy easier tracking and on-time payments without worry.

If you are now wondering whether you should seek credit counselling, here are a few reasons you may be a good candidate:

  • You have debt-to-income ratio concerns.
  • You are in financial distress (reduced income, increased expenses, divorce, or unemployment).
  • The type of debt you owe is related to credit cards and medical expenses.
  • Poor credit score

While credit counselling may not be for everyone, at Morgan & Partners Inc., we are ready to discuss your needs and determine the most viable solution for your financial situation. Contact us today to learn more.