Nationwide Debt Center saves consumers from unscrupulous credit counseling companies

Printer-friendly versionPDF version

Brea, California – Nationwide Debt Center, California’s leading experts in debt settlement, offers consumers useful tips when it comes to choosing credible credit counseling companies. With more than 7 years of experience in the debt management industry, they are experts when it comes to differentiating credible versus questionable credit counseling companies.

“Never assume that every agency is a good one because it is a non-profit. If you decide to seek credit counseling, make sure you do your homework before choosing the right company for yourself. Some credit counseling companies are more ethical that others, however, never forget that most of them are in the business of profiting. Ask a lot of questions and don't believe all the hype that will be thrown your way” said Tony Sabri, CEO of Nationwide Debt Center
When asked about what to look out for when choosing the right credit counseling company, Tony outlines the following information that every consumer should ask before deciding on a company:

1. Find out which debt will be or will not be covered in the plan before signing up as some creditors do not participate in these plans.
2. What information do counselors use to evaluate your situation and what is involved in the counseling process?
3. Will they teach you basic debt management skills and help you work out a budget?
4. Ask them if they are licensed.
5. Where does the company derive its income from (fees, contributions from creditors, grants)?
6. What credentials do the counselors have and how much training and experience do the counselors have?
7. How much is given to you to discuss your problems with a counselor (a minimum of 90 minutes should be allocated for a session)
8. What are your fees for each service and what is the maximum you will have to pay? (A good sign that a company is not a good choice is if they are mainly concerned with you sending in an enrollment fee right away.)
9. Will you have easy access to your account information on a regular basis (i.e, online access).
10. What guarantee is there that they will pay your creditors and that they will do it before the due date (this has been a serious problem in the past, so much so, that the FTC is currently investigating more than 50 counseling services for failure to pay creditors)
11. Inquire if the counselors are paid based on the number of new clients that sign-up with them (if this is the case, find another company)

“The most important part is reading the contract. Make sure you read the contract thoroughly before signing it as you might find there are hidden sign-up fees. For example, the most frequent complain consumers have with credit counseling services is that they claim they were never told that their first two payments would not go to creditors; instead, they would go to the credit counseling service”, said Tony. “To ensure that this does not happen to you, make use of the outline of information you should gather before making a decision on choosing the best credit counseling company”.
Tony is confident that with his advice, consumers will not fall victim to unscrupulous credit counseling companies.

About Nationwide Debt Center

Nationwide Debt Center, headquartered in Brea, California, helps individuals and families experiencing financial distress to take positive action towards reestablishing their fiscal footing by offering services that is affordable and realistic. Those who qualify for their services will receive several benefits such as having negotiators to lower their debts of their behalf and having affordable monthly payments depending on the circumstance. Nationwide Debt Center’s team comprises of highly trained experts that negotiates with creditors and establishes a feasible, practical way for clients to pay off not just their interest rates, but also their balances.

For more information on their debt settlement program, visit http://nationwidedebtcenter.org