Q: How do I find a good credit counseling service?

A: Due to a few bad apples, the credit counseling industry is under enormous scrutiny from both the government, and private consumer-interest groups. Although this is bad for honest credit counselors (and even worse for the not-so-honest ones), it's great for you, the consumer. Search the Web sites of the Federal Trade Commission (www.ftc.gov) and the Better Business Bureau (www.bbb.org) for "credit counseling" and you will find all you need to know, including complaints against individual credit-counseling firms.

Secondarily, you can tell right away if a credit-counseling service is legitimate by evaluating the promises it makes. Does it sound too good to be true? If so, then it is. No one can make your debts and/or bad credit disappear, and no one can save you 90% or more -- even 50% is really stretching it. Good credit counselors can typically save consumers 10-35% on their monthly payments, so if a firm promises to do much more, be skeptical of their claims, and of them as a company.

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