Debt Consolidation And Consumer Debt Counseling
In the United States it is called credit counseling, but the entire financial industry and the many consumers who have ever had to use it at any time recognize it for what it is – consumer debt counseling. Ordinarily it is meant to be a process of education for consumers on how to avoid incurring debts that may be impossible to pay back, but it turns out that the system more often carries out functions in which advise is given to debtors and people with bad credit on how to ‘wade’ out of bad debt they have already incurred.
In any case, debt consolidation is one of the most common options you will get through the process, and also one of the most viable, partly because it is so real, and partly because it is easier to get a credit company or financial institution to go along with it.
Debt consolidation involves the taking of one big loan and using it to service several small ones. In some sense, certain detractors will call it robbing Peter to pay Paul, but essentially what you are doing is providing some relief for yourself, buying time and lowering the confusion you may get from several monthly checks you have to hand out to the creditors. Besides, if your credit counselor thinks it is a good idea, perhaps you should go along with them.
It does not harm to bring an experienced lawyer along with you, even if the counselor is uncomfortable with it. However, it is more important to bring one that both of your can work with.