Seeking Financial Help: Where Do You Start?

If you have concerns about your debt or have identified that you are in trouble and need assistance, it is important to seek help.

Financial Planners can often identify and assist you with assessing your situation and recommend what course of action to take.  This will often include a Personal Budget.  Before deciding if a financial planner is right for you do your research.  Talk with trusted family and friends who are working with a financial planner or have worked with one in the past.

According to an article on the IRS website published on October 14, 2003, consumers need to be careful when agencies provide "quick fixes" to their financial burdens.

Below is an excerpt taken from the October, 2003 article.  It includes tips for consumers that can help protect you from unethical credit counseling.

. Check that the organization will help you manage your finances better through counseling and education.

. Carefully read through any written agreement that a credit counseling organization offers. It should describe in detail the services to be performed; the payment terms for these services, including their total cost; how long it will take to achieve results; any guarantees offered; and the organization's business name and address.

. Beware of high fees or required "voluntary contributions" that, with high monthly service charges, may add to your debt and defeat your efforts to pay your bills. It is illegal to represent that negative information, such as bankruptcy, can be removed from your credit report. Promises to "help you get out of debt easily" are a red flag.

. Make sure that your creditors are willing to work with the agency you choose. If they are, follow up with those creditors regularly to make sure your debt is being paid off.

. Check with state agencies and your local Better Business Bureau to find out about a specific credit counseling organization's record. A list of helpful Web sites appears at the bottom of this release.

For more helpful information like this go to www.irs.gov