After graduating from college students, many young people now receive exit counseling to understand their responsibilities as it relates to student loan debt. Recent college graduates also carry quite a bit of credit card debt. By receiving debt counseling, you can often boost your financial knowledge so your personal finances improve. According to one article by wkyc.com, recent college graduates enter the job market with a better chance of getting hired as U.S. employers say they intend to hire 5 percent more compared to last year. At the same time, the students have record debt. With debt counseling, you find out how to budget, plan and pay off credit card debt so you don’t go into default with other loans. Seven in 10 college students acquired debt. Credit card debt is rarely considered “good debt,” especially when you don’t pay off the balance every month.
Learning lessons of life
An article by journalgazett.net points to a national survey of college students that showed 71 percent did not learn about credit and debt while in school. Also, students gave their schools an average grade of a ‘C’ in terms of getting them ready to manage credit card debt and personal finances once they graduated.
Taking advantage of opportunities
Just as you take advantage of good job offers, you can take advantage of the opportunity to enroll in a debt management plan. A debt management plan allows you to consolidate your credit card debt into one monthly payment. Some college students with student loan debt pay off as much credit card debt as they can during the 6-month grace period when they don’t have to pay on their student loans. Whether you owe college loan debt or not, you can prevent financial stress by dealing with credit card debt.
Boosting your credit score
Another important part of debt counseling is learning how to boost your credit score. When you have a high credit score, you receive a lower interest rate on loans. Most graduates want a car or a home. Lenders expect borrowers to prove their credit worthiness with an acceptable credit score. Once you are out of college, a credit score is more important than your college grades in most cases.
At Christian Credit Counselors, we help people of all ages with debt counseling. Christian credit counseling offers consumers a positive path for paying off debt. In many cases, consumers pay off debt 80 percent faster compared to less effective debt repayment strategies. For more information about debt counseling, please contact us.