You aren't alone. Many people have financial difficulties for many different reasons. Even those who know the ropes can have difficulty getting back on track after an income interuption such as a layoff, job change or maternity leave. Credit Counselling provides you with a professional, nonjudgmental Credit Counsellor who can help you with your situation.

Am I eligible for your service?
YES. Anyone who would like non biased, confidential advice on money or debt management can come and see us. Our clients come from all walks of life. There are no social or economic barriers.

My creditors are calling me demanding money I do not have, can you help?
Creditors are very supportive of not-for-profit credit counselling.  Most creditors will give you some grace once they hear you have an appointment with us. Creditors are very supportive of Credit Counselling Services and are very cooperative with us when attempting to resolve client problems. When you see a counsellor they will create a realistic budget with you, assess your current financial situation and will discuss options to help you resolve your problems with your creditors.

I cannot make the required payments to my creditors, how can you help me?
A counsellor will discuss solutions with you including a debt management program, direct negotiation with creditors, and money management or budget counselling.

With a DEBT MANAGEMENT PROGRAM we will first work out a realistic budget with you. Then we will ask your creditors to reduce your monthly payments when we have assessed your ability to pay. Creditors are still paid in full - it just takes a little longer. In most cases creditors will reduce or stop interest charges. Our debt management program has a very high acceptance rate because of the strong support of creditors for not-for-profit Credit Counselling Services.

Is it true that with a DEBT MANAGEMENT PROGRAM you will handle all of the payments to my creditors?
Yes, you make the agreed upon deposit to us each month, we place the money in a trust account and disburse it to your creditors once a month on your behalf.

If I pay less money towards my debts through a DEBT MANAGEMENT PROGRAM, how long will it take me to get out of debt?
Debt Management Programs are designed to be completely paid in no longer than five years (and up to nine years for a student loan) and can be paid much sooner depending on your ability to pay and size of debt. Many creditors will waive or reduce interest charges and this allows you to get out of debt quicker while actually paying less.

What does it cost?
There is no charge for you to get professional help in solving your debt or money management troubles through our individual counselling sessions. These services are provided free of charge. If you choose to start a Debt Management Program, you will have a small fee built into your overall monthly debt payment. In most cases your overall payment is considerably lower than what was required from creditors. We are a non profit, charitable organization and any fees collected help to offset a portion of our operating costs.

Who will know I have gone to Credit Counselling ?
Nobody will know you have been here unless you tell them. Our Service is discrete and fully confidential. We will not disclose any information to anyone unless you consent in writing for us to do so.

Will a DEBT MANAGEMENT PROGRAM affect my credit rating?
Your creditors may report that you are participating in a Debt Management Program while in the repayment stage.  Upon your successful completion of the program, Credit Counselling Serivces will report to the credit bureau that your debts have been paid.  Two years later, Credit Counselling Services can request this information be purged from our credit file.

What happens to my credit rating if I file for bankruptcy?
A bankruptcy will be on your credit rating for six years after you are discharged during which time it will be difficult for you to get credit. Although bankruptcy is sometimes a valid option it also has other negative implications such as loss of assets and feelings of failure. Credit Counselling may have options that will help you to avoid a bankruptcy.

Didn't find the answer to your question?  Ask us kccc@k3c.org

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