Avoid the Credit Counseling Trap

South New Jersey Bankruptcy Lawyer

Helping You Avoid the Credit Counseling Trap

When your debts are piling up and there seems to be no way out, the advertisements you see on television and the Internet for credit counselors who will “help you get out of debt without filing for bankruptcy” can seem very appealing. Don’t be fooled.

Most of these companies are simply looking to prey on your unfortunate circumstances, as well as on the stigma that bankruptcy is a sign of failure. They will promise you all the things you want — to get out of debt, maintain a good credit rating, stop the incessant letters and phone calls from creditors — but in the end, they will usually just take your money and leave you worse off than when you started.

Steven Taieb Law Bankruptcy Attorney Mount Laurel NJAt Taieb Law, we know how these operations work and we understand the appeal they can have when you are working hard to make ends meet. Attorney Steven Taieb has helped people facing financial challenges for more than 26 years.

The author of the financial management book The Debt Trap: How Your Life Choices Impact on Your Financial Future, he is one of only six attorneys in New Jersey who is board certified in consumer bankruptcy law by the American Board of Certification.

We know the stress and anxiety that money problems can bring and the allure of getting out of debt without filing for bankruptcy. Our goal, however, is to help you put your financial difficulties behind you once and for all. Often, the best (and most cost-effective) way to do that is to file for bankruptcy.

If you are considering hiring a credit counselor, we will help you evaluate whether or not their services are right for you. For an appointment to discuss your concerns, contact our office by e-mail or call us at 856.235.4994.

Don’t Get Sucked into Credit Counseling

Most credit counseling operations look the same. You sign a contract with the company, agreeing to turn most of your income over to them. They promise to set up payment agreements with your creditors that will get you completely out of debt by a certain date.

In most instances, you are required to pay substantial up-front fees, often in the thousands of dollars. After you have made a few payments to the credit counseling company, you start receiving calls from your creditors, advising you that your payments are late. When you contact the credit counseling company, you get excuses — the check is in the mail, your creditor made an error. Or the company simply doesn’t take your calls. Or they disappear without a trace.

Though there are some legitimate credit counselors out there, many are in business only to profit from your fear and desperation. Here are some of the clear warning signs that a credit counseling service may not be in your best interests:

  • The company asks you to pay any fees before services are rendered
  • The credit counselor tells you not to contact your creditors, that they will handle everything for you
  • The company tells you not to have any communication or contact with a credit reporting agency
  • The company charges you for things that you could do yourself at no cost
  • The company proposes that you challenge legitimate debts or engage in other conduct that seems illegal or unethical, such as creating a new identity

Contact Taieb Law Today

To arrange a meeting with a New Jersey bankruptcy attorney who advocates for you, contact our office online or call us at 856.235.4994.

We are a debt relief agency and are pleased to help clients file for bankruptcy relief under the U.S. Bankruptcy Code.