GOLD and HAMMES, Attorneys

It is natural for people to try to avoid filing bankruptcy. Credit counseling plans are one way of avoiding bankruptcy. Credit counseling may work for people who really do have enough income to regularly pay their bills, but have a problem organizing and managing their debts.

For people who have had job losses, illnesses or injuries, credit counseling often does not solve their problems. Surprisingly, credit counseling often makes the problem worse. We see many families who owe more on their credit card debt after a year of monthly credit counseling plan payments.


Here are some links with important information about credit counseling.

FTC Advice Regarding Credit Counseling

FTC Testimony about Credit Counseling Abuses

FTC settles case against AmeriDebt founder

Another FTC brochure about Debt Management Plans

Note: The FTC is the Federal Trade Commission, a federal government agency that is supposed to protect the public from fraud and abuses in industry.