Just because you unfortunately have a bad credit report doesn’t specifically indicate that you will not be able to get credit. Creditors use varying standards when they set their own credit-granting standards and not all creditors view your entire credit history in the exact same way. Some creditors will look only at more recent events in order to fully evaluate you for credit, and some creditors may grant you credit if your short term bill paying history has improved. In many situations, it may be worthwhile to directly contact creditors informally to discuss the standards that they take into consideration.
If you have not developed the necessary discipline to create a workable budget and stay with it, then it is imperative to attempt to work out a repayment plan with your creditors and keep track of your incoming and potentially mounting bills by considering contacting a credit counseling organization. Numerous credit counseling organizations are nonprofit and will work closely with you to solve many of your financial problems. But of the numerous credit counseling agencies, many of them are not reputable. As an example, just because an organization may hold itself out to be "nonprofit," there's no guarantee that the agencies services are affordable, free, or even legitimate. During extensive research, it has been found that some credit counseling organizations hide their fees or charge higher fees, by pressuring consumers to make "voluntary" contributions or donations that only end up causing more debt.
You can find most information, reviews and comments on many of the credit counseling organizations here at www.BadCreditPlace.com. We provide numerous selections of agencies that offer in person counseling. Many military bases, universities, housing authorities, credit unions, and branches of the United States Cooperative Extension Service service nonprofit credit counseling agency programs. Local consumer protection agencies, your financial institution, and family and friends also may be great sources for referrals and information.
An important message to consider, if you are thinking about filing for bankruptcy is regarding the major change to the bankruptcy laws. Since October 17, 2005, an individual must get credit counseling from an approved government organization within six months prior to filing for bankruptcy protection and relief. An individual can find a list of approved government organizations in each particular state here at www.BadCreditPlace.com or at www.usdoj.gov/ust. The latter is the home place of the United States Trustee Program, which is the organization within the United States Department of Justice that supervises bankruptcy trustees and cases.
Reputable credit counseling agencies can provide advise to you on effectively managing your debts and money, offer free workshops and educational materials and help you develop a budget. Their counselors are trained and certifed in the areas of money, consumer credit, budgeting and debt management. Counselors are available to discuss and make recommendations on your entire financial situation as well as assist you in developing a personalized plan to adequately solve your money problems. An initial counseling session generally last about an hour, with an open offer of follow up questions.