Consumer Credit Counseling - Is it worth it?

Settlement normally isn't an option till you stay current on your bills but councelling can be done while staying current on the bills. But settlement would help you in lowering the total debt amount whereas counselling may only negotiate on the interest rate.

Credit counselling programs are more expensive than the settlement programs.

Non profit credit counsellors receive often their compensation from the lenders. Hence one may wonder how hard they are going to bargain on behalf of the debtor when more money to the lender means fatter commission.

Hence it'd really be your call depending on your debt and financial situation. However, the key is to find a good and reliable couselling/settlement firm because since inception credit counselling business has flourished at every lane of every city and unfortunately many of these businesses are fraud.

You can check with the 'do it yourself' since self help is always the best route and next, if you are still current on your bills but want to lower the interest, you may try to negotiate the matter with your lenders.

It was the best thing I ever did for myself, I highly recommend a non profit CCCS.

If you can afford your minimum payments and just need lower interest rates the non-profit CCCS is the way to go. They can get you one monthly payment around what your were paying , but at much lower interest rates " like 6%-10 % ". If you are overextended and thus can't afford the payment of a non profit consumer credit counseling company than you should consider debt settlement. Debt settlement is a bankruptcy alternative and should be your last option before bankruptcy.