How to Find a Reputable Debt Counseling Company

Debt counseling is a very personal service, and you need to be able to trust the people who offer it. Before you sign an agreement or give any personal information to a debt counseling company, do some research. When you hand the structure of your personal finances over to a complete stranger you want to take the time to make sure you are comfortable that the company is reputable and has been around for a long time.

Instructions

Finding a Reputable Debt Counseling Company

1

Develop a list of debt counseling companies in your area from the phone book and newspaper advertisements. Avoid companies that claim in their advertising that they can make you debt free or save your credit score. You are looking for qualified professionals who understand their business and do not attract customers through gimmicks and promises. It may be best to stick with certified public accountants or certified financial planners to act as debt counselors.

2

Check your list against the Better Business Bureau files. This can easily be done over the Internet, and it is free. Any company with excessive complaints against it, even if those complaints have been satisfied, may be suspect.

3

Contact your state attorney general's office to see if any of the debt counseling companies you are considering have ever had any official complaints filed against them. If a previous customer is willing to report a debt counselor to the state attorney general, then you may not want to do business with that counselor.

4

Speak to any local financial professionals you know, such as your banker or accountant, and see if they recognize any of the names on your list of debt counseling candidates. Ask these financial professionals for any referrals they may have as well.

5

Set up a series of at least two personal interviews with each prospective counselor. Ask questions and make detailed notes of how each one answers. Pay attention to whether any of them give you confidence in their abilities or knowledge of the industry.

6

Make a decision only after you have gone through the second round of interviews. This allows you to make a better comparison between counselors you saw early on and those you saw after gathering more information. Your perspective may change.