Yesterday in The New York Times there was an article about debt settlement companies. The article features one West Virginia family who used a debt settlement company to try to manage their thousands of dollars of credit card debt, only to end up with higher credit card balances than before. The company took around $4,000 from the family, but didn’t help them manage their credit cards at all.
During these tough economic times, we need to be aware of companies saying they’ll take care of foreclosure or credit card debt. Make sure you work with a non-profit counseling agency; for foreclosure help, the company should be HUD-certified.
If you or someone you know needs credit counseling, call United Way’s 2-1-1 Referral Service at (800) 427-4626–they’ll help connect you with trusted resources. You can also contact one of our partners, ClearPoint Credit Counseling Solutions, for help with credit card debt. If you think you may have been part of a fraudulent scheme, contact the FBI.
To read the full article from The New York Times, CLICK HERE.
I would go a step further, most people caan settle their own debt, they just simply need to learn how.