Credit Counseling vs. Financial Planning

Jeanne McTaggartCredit Counseling

Credit Counseling

Avoiding Load Funds

If you have a lot of debt at high interest rates that you can barely make a dent in, you are a prime candidate for credit counseling. Some people with massive credit-card debt wonder if they should hire a financial planner or financial adviser that can help them build wealth.

While working with a financial adviser may help you in the future, it’s best to seek out help from a reputable company with trained credit counselors to get on the right path. Many financial advisers receive commissions when their clients purchase what’s called load funds, which are mutual funds with a sales charge. When you are paying money to credit card companies due to interest charges and late fees, you are better off working with someone who specializes in debt consolidation.

Getting back to basics

Even if you have invested in the stock market in the past or contributed to a 401(k) at your job, it’s important to get back to the basics of personal finance if you are overwhelmed with credit card and other debt. Non-judgmental and experienced counselors who work at Christian Credit Counseling will help you establish a spending plan, budget and set financial goals.

Consolidating your debt

A credit counselor will help you set up a Debt Management Plan that will help you get out of debt in a short amount of time. One of the great benefits of credit counseling is that you may end up with a workable debt repayment plan that satisfies the credit-card companies that have been pressing you to pay your bills.

Putting investing on the back burner

It’s up to you whether you want to contribute to a Roth IRA or a company-sponsored retirement plan while you are paying off your debt each month on your debt repayment plan. If you receive a company match in your retirement account, it may pay to budget for retirement savings. On the other hand, if you don’t have an emergency fund built up yet, you may be wise to simply save money into a savings account before working with a financial planner or investing in the stock market.

People who inherit a large sum of money often benefit from working with a financial planner. For the rest of us who haven’t won the big lottery jackpot in our lifetime, financial planning is still important. However, it’s best to get the basics down first by budgeting, planning, saving and paying off debt.

If you have a lot of debt at high interest rates that you can barely make a dent in, you are a prime candidate for credit counseling. Some people with massive credit-card debt wonder if they should hire a financial planner or financial adviser that can help them build wealth. While working with a financial adviser may help you in the future, it’s best to seek out help from a reputable company with trained credit counselors to get on the right path. Many financial advisers receive commissions when their clients purchase what’s called load funds, which are mutual funds with a sales charge. When you are paying money to credit card companies due to interest charges and late fees, you are better off working with someone who specializes in debt consolidation.

Getting back to basics

Even if you have invested in the stock market in the past or contributed to a 401(k) at your job, it’s important to get back to the basics of personal finance if you are overwhelmed with credit card and other debt. Non-judgmental and experienced counselors who work at Christian Credit Counseling will help you establish a spending plan, budget and set financial goals.

Consolidating your debt

A credit counselor will help you set up a Debt Management Plan that will help you get out of debt in a short amount of time. One of the great benefits of credit counseling is that you may end up with a workable debt repayment plan that satisfies the credit-card companies that have been pressing you to pay your bills.

Putting investing on the back burner

It’s up to you whether you want to contribute to a Roth IRA or a company-sponsored retirement plan while you are paying off your debt each month on your debt repayment plan. If you receive a company match in your retirement account, it may pay to budget for retirement savings. On the other hand, if you don’t have an emergency fund built up yet, you may be wise to simply save money into a savings account before working with a financial planner or investing in the stock market.

People who inherit a large sum of money often benefit from working with a financial planner. For the rest of us who haven’t won the big lottery jackpot in our lifetime, financial planning is still important. However, it’s best to get the basics down first by budgeting, planning, saving and paying off debt.

Do you want to know more about debt and how you can make smart financial decisions now that will help you secure a more prosperous financial future? Sign up for our newsletter for monthly money tips.

Full Name (required)

Email (required)

Are you a current client of Christian Credit Counselors? (required)

Type the code below in the text box. (required)
captcha


CCCc2abutton