Debt has become a major problem for Fort Payne residents.
We can easily put you in contact with a credit counseling consultant based on where you live, how much debt you owe, and other factors. For starters, just complete our simple form. Don’t delay. Start getting debt relief today.
Fort Payne (AL) Credit Counseling Fundamentals
These days, many credit counseling firms in Fort Payne are non-profits who are compensated at least to some extent by means of fee income, generally known as Fair Share. This means that a lot of credit counseling programs are very economical.
Do I Need Debt Counseling in Fort Payne, AL?
Your ratio of debt to income, also referred to as DTI, helps to verify if your state of affairs warrants credit counseling. Listed here are a few estimates consistent with earnings of $33,011 each year, Fort Payne’s average:
- $990 (36%): Great
- $990 to $1,183 (36-43%): OK
- $1,183 to $1,376 (43-50%): Cause for Concern
- $1,376 plus (50%): Critical
Credit Counseling Plans in Fort Payne (AL)
Do you owe at least $10K of unsecured debt or have a DTI of 50% or more? If so, you might need to register for a DMP, or debt management plan. A debt management plan is a way of consolidating debt, given that your payments to creditors is combined into one monthly amount, but no loan is needed. This is different from various other types of debt consolidation in Fort Payne, AL, which use home equity loans to repay the credit card companies. You’ll write a single check a month to your Fort Payne credit counseling company, and they will divide up the payments among each of your creditors.
Just remember, zero debts are pardoned when it comes to credit counseling. While a debt settlement would greatly reduce your total debts, it might adversely affect your credit score.
Steering Clear of Credit Counseling Scams in Fort Payne (AL)
All in all, credit counseling has been vetted by the Federal Trade Commission and other government regulators. But you should be sure that any credit counselor in Fort Payne, AL, is a professional one. You can do this in a number of ways, including examining their customer feedback, looking at their certification status, and viewing their BBB reviews.
To read more, read this FTC post on the subject.
Keep in mind that credit counseling is a strategy for managing debt, not eliminating it, but you probably won’t need to pay as much every month as you have been paying, due to decreased fees and interest. Want to learn how much credit counseling in Fort Payne, AL, will save you?
Bankruptcy Counseling in Fort Payne, AL
It’s estimated that 116 of Fort Payne’s 18,195 residents have found it necessary resort to bankruptcy.
As of 2005, anybody in Fort Payne who wants to declare bankruptcy must first acquire a certificate demonstrating that they participated in a bankruptcy credit counseling program in Fort Payne, AL. You aren’t required to go to one of the credit counseling services in Fort Payne, AL. Bankruptcy credit counseling courses for Fort Payne consumers are offered on the web and on the phone, as well as locally.
Do not forget- you will need to sign up for a credit counseling program post bankruptcy to boot.
For an approved list of approved Alabama credit counseling programs, follow this link. Or alternatively, you can speak with an experienced credit advisor:
Credit Counseling and Debt Counseling Agencies in Fort Payne, AL
- Alabama credit counseling firm? Email us!