Debt Management

In many ways, credit counseling leads to enrolling in a debt management program. A debt management adviser is a professional who will recommend a smart and doable strategy to repay the debt. This financial expert will help negotiate a new payment scheme with the creditors.

Unlike debt consolidation where you’re still required to pay the same balances, a debt management planner can ask the lender to reduce interest fees, or even lower the monthly payments. With debt consolidation, however, you will also be paying the credit counseling agency and they will be the ones to pay your creditors.