Dealing with an unmanageable amount of debt is scary and overwhelming. Credit counseling is designed to help you restructure your debt and negotiate with your creditors to make things much more manageable. Here are three signs you could really benefit from credit counseling:
1 – You Can’t Make Your Minimum Payments
Most people know that if you only make your minimum payments on credit cards and other unsecured debt, it will take forever to pay them off and you will end up paying way too much in interest charges. That said, there are times in life when money is tight and it makes sense to pay only the minimum temporarily, in order to keep a bit of cash flow for necessities like food and rent.
When you find that even your minimum payments have become so high that you can’t keep up, your situation has become dire. Even one missed minimum payment can severely impact your credit score, and lead to higher minimum payments and fees. This is a situation that often requires the help of a credit expert.
2 – You Are Experiencing Debt-Related Anxiety
When debt becomes unmanageable, it affects every area of your life, including your emotional health. There is no need to live with anxiety, depression, and panic related to your debt. Instead, let a credit counseling agency help you make sense of your finances and gain control of your situation. For many clients, just the act of scheduling the first consultation helps alleviate money-related anxiety.
3 – Your Head is in the Sand
If you can’t pay down your debts, it may be tempting to begin ignoring them. Ignoring calls from collection agencies, blocking the phone number from your credit card company, and throwing away your bills without opening them are major signs that you are in denial, which will only make your situation worse. Sitting down with a credit counselor to go through your debts and figure out exactly what you owe and to whom is a great first step to regaining financial freedom.
If your debt is keeping you awake at night, it’s time to contact us to go over your options. We offer a free 55 minute consultation to go over the details of your situation and explain the solutions we have available to you. Our programs are set up to give you control over your finances and improve your peace of mind.