Ever stay up late watching made-for-TV movies and reruns of sitcoms? If so, you’ve probably seen some of the debt consolidation commercials that promise financial freedom in exchange for an “affordable” price.
Spoiler alert: That price is usually affordable for the debt consolidation company, not you. You’ll shell out hundreds – possibly even thousands – of bucks for a debt management plan that might not even help relieve your credit card debt. That’s because many credit card consolidation companies are run by scammers, and even the ones managed by well-intentioned associates aren’t always effective.
Frustrating, right? That’s why we’ve compiled a list of nonprofit debt consolidators you can trust. If you’re worried someone might take advantage of you while you tackle credit card expenses, choose a reputable nonprofit consolidation company from our carefully researched list.
American Consumer Credit Counseling (ACCC)
The American Consumer Credit Counseling (ACCC) is a non-profit 501(c)3 debt consolidation agency that boasts a 4.51 rating (on a 5.0 scale) with the Better Business Bureau. You can request services as long as you reside somewhere in the United States. Consumers praise this nonprofit for the following things:
- Great communication
- Affordable fees
- Free credit counseling before developing a consolidation plan
- The ability to help qualifying consumers lower APRs on loans and credit cards
- Ongoing personal finance training in the form of newsletters, online articles, and other helpful methods
We’ve seen a handful of complaints about ACCC, but most reviews are positive for this well-known nonprofit.
SafeGuard Credit Counseling Services
There aren’t many reviews floating around about SafeGuard Credit Counseling Services, but the company has a perfect rating with the Better Business Bureau. They’re approved by the Financial Counseling Association of America, which means they meet or exceed rigorous standards established for companies that offer debt management services.
The company has helped nearly 75,000 people over the last decade, and consumers describe the company’s representatives as helpful, knowledgeable, trustworthy, and compassionate. Prices vary depending on your unique financial situation, but you undergo credit counseling before you commit to a consolidation plan. In other words, you won’t get hit with any unexpected fees after you request help.
American Financial Solutions
If you want an established company that’s popular with consumers, American Financial Solutions is a great option for your debt consolidation goals. The company has a perfect rating with the Better Business Bureau, and nearly every consumer review raves about the perks of using this trusted nonprofit to manage debt.
Consumers say American Financial Solutions is a professional company that values its customers. This popular nonprofit takes the time to thoroughly review your financial situation before recommending a plan tailored to your specific needs. Numerous reviewers rave about the company’s honesty, explaining that there are no surprises with this transparent agency. Maybe that’s why more than 250,000 people have paid off billions of dollars of debt with help from this nonprofit.
And it’s not just customers who trust this ethical company. The Council on Accreditation granted American Financial Solutions its official accreditation as a nonprofit, and the National Foundation for Credit Counseling lists the company as a member.
InCharge Debt Solutions
InCharge Debt Solutions has helped customers manage their debt for more than 20 years. The company has an A+ rating with the Better Business Bureau, and consumers say this honest, dependable company charges low upfront fees. Monthly fees are just $25 to $50 depending on your financial situation.
If you use InCharge Debt Solutions for credit card debt consolidation, the company says you can expect to pay off your cards in 3 to 5 years. You can also get rid of late fees and lower your APR with help from this company.
Where else can I find a nonprofit credit card debt consolidation agency?
The Financial Counseling Association of America publishes a list of trusted debt repair companies, many of which are nonprofits. You can also find nonprofit debt consolidation agencies at some banks or credit unions, as well as schools, churches, and military assistance offices.
Why choose a nonprofit agency for credit card debt consolidation?
There are many reasons why a consumer might prefer to work with a nonprofit debt consolidation agency rather than a traditional debt consolidation company, including:
- Cost – Nonprofits often have lower fees than regular companies. Expect to see a reasonable startup fee and a small monthly fee based on the amount of your total debt if you work with a nonprofit for debt consolidation.
- Reputation – Many nonprofits review positive reviews from consumers, while traditional debt consolidation companies are often criticized for scamming customers or charging excessive fees. Some nonprofits are also backed by agencies such as the Financial Counseling Association of America.
- Ethics – Some consumers feel that a nonprofit debt consolidation company is more ethical than a traditional debt consolidation company. They feel valued when they work with a nonprofit, and they believe nonprofits truly want to help rather than just take their money.
Still not sure which type of debt consolidation agency is best for you? Consider your budget and debt management goals, as well as your personal beliefs. This will help you determine if working with a trusted nonprofit credit card debt consolidation firm like the ones above is ideal for you.