How to Find a Good Debt Consolidation Company

A "good debt consolidation company": To some people, that might seem like an oxymoron. Many feel there is no such thing as a good debt consolidation company. If you absolutely feel you have no other option, however, a few steps might produce the name of companies you may trust. Fully evaluate any prospects before choosing the one that best meets your needs. You might find that the brush with which they are all painted is just a bit too wide.

Instructions

1

Locate your local Consumer Credit Counseling Service office. Consumer Credit Counseling Service is a non-profit community service organization that offers confidential, professional financial counseling at no cost to the client. Visit the CCCS website and search by zip code to find the nearest office.

2

Confirm that the selected company is in good standing with the Better Business Bureau using the BBB's online database. Check with your state's attorney general's office or consumer protection agency to see if complaints have been made against the company.

3

Avoid unlicensed companies and verify that individual counselors are licensed.

4

Review carefully the details of the contract for services. Be sure you understand the terms of the agreement. Look closely for language that indicates you will be required or even merely expected to pay a fee or a donation. Confronted with evidence of such expectations, or if the company is places a limit on the time you have to make a decision, find another company.

5

Review the program itself in detail. It should include a solid plan for paying off your debt in a timely, manageable way, and should note the availability of counseling or programs on handling finances or budgeting.