Cambridge Credit Counseling Corp
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What Is Credit Counseling from Cambridge Credit Counseling?

Credit counseling from Cambridge Credit Counseling is a free session for people struggling with credit card and other unsecured debt. A certified counselor reviews your finances and explains options such as a debt management plan, with no obligation to enroll afterward. Cambridge Credit Counseling is a nonprofit agency that has counseled consumers nationwide since 1996.

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What a Free Counseling Session Covers#

Credit counseling from Cambridge Credit Counseling is a free service for consumers who are having difficulty paying credit card and other unsecured bills. During the session, a counselor reviews your income, expenses, and debts, then explains options such as a debt management plan. Cambridge Credit Counseling also offers housing counseling, student loan counseling, reverse mortgage counseling, and bankruptcy counseling.

How Credit Counseling Can Help#

Credit counseling is designed to provide the education and tools that consumers need to help them develop better spending habits, reduce debt and live more financially responsible lives. Cambridge Credit Counseling provides a free, one-on-one debt analysis to help determine the most appropriate course of action for your unique financial situation. Cambridge Credit Counseling’s nationally certified credit counselors will help you:

  • Identify your expenses and develop a working household budget
  • Get advice and guidance to help you reduce your monthly expenses
  • Develop a plan to help you build savings
  • Identify the most appropriate course of action to get out of debt

Too many people rely on their credit cards to make ends meet and have difficulty making even their minimum monthly payments. As balances increase, so do the monthly payments. Missed payments bring late and over-limit fees that increase balances and minimum payments further, until one by one the accounts become seriously delinquent. Bankruptcy is a viable option for certain situations, but for many people credit counseling is a simple, safe way to responsibly pay off credit card balances without having to get another loan.

Your counselor will perform an in-depth review of your entire financial profile, including your household budget. If you don’t have a budget, the counselor will help you set one up. If you do, a few simple adjustments to your budget may be all you need to free up enough money to get back on track without assistance.

Who This Service Suits#

Cambridge Credit Counseling provides credit counseling as a free service for consumers who are looking for ways out of debt. It is meant for people carrying credit card balances or other unsecured debt who want to understand their options before deciding on a next step.

Signs You May Have Too Much Debt#

Too much debt can lower your credit score and make reaching your goals much more difficult. These signs may indicate you have too much debt:

  • High debt-to-income ratio. Divide your total monthly debt payments by your gross monthly income. If your debt-to-income (DTI) ratio is above 36-43%, it can be a sign that you have a significant debt burden relative to your income.
  • Difficulty making minimum payments. Struggling to make the minimum monthly payments on your credit cards, loans, or other debts is a clear indicator that you may have too much debt. Missing payments or making late payments can also harm your credit and may lead to increased interest charges and late fees.
  • Relying on credit cards for everyday expenses. If you frequently rely on credit cards to cover basic living expenses like groceries, utilities, or rent because your income doesn’t cover these costs, you may be overextended.
  • Maxed-out credit cards. High credit card balances relative to your credit limits can negatively impact your credit score. If your balances are continually growing rather than decreasing, you may be accumulating more debt than you can comfortably manage.
  • Borrowing to pay off debt. Taking out new loans or using one form of credit to pay off another, such as using a personal loan to pay off credit card debt, can be a sign of a debt cycle that needs to be addressed.
  • Minimal savings. If you have little or no savings because a significant portion of your income goes toward debt payments, you may not have a sufficient financial cushion for emergencies or future goals.
  • Emotional stress. Feelings of stress, anxiety, or overwhelm related to your debt can be a strong indicator that you have too much debt.
  • Difficulty achieving financial goals. If your debt obligations prevent you from making progress toward goals like saving for retirement, buying a home, or investing in education, your debt load may be too high.
  • Frequent collection calls. Receiving frequent calls from debt collectors or having accounts sent to collections can be a clear sign of financial distress and a need for debt management.

What Happens After the Session#

There is never any obligation to enroll in a Debt Management Plan after a credit counseling session with Cambridge Credit Counseling. If a consumer does choose a debt management plan, Cambridge Credit Counseling collects one monthly payment and disburses individual payments to each creditor included on the program. One benefit creditors often extend to clients on a plan is a reduction in credit card interest rates.

Cambridge Credit Counseling’s Certifications#

Cambridge Credit Counseling is a 501(c)(3) nonprofit agency established in 1996. It is a member of the National Foundation for Credit Counseling and the Financial Counseling Association of America, and it is accredited to the FCAA’s Code of Practice. Counselors at Cambridge Credit Counseling hold certifications such as NFCC Certified Credit Counselor, HUD-Certified Housing Counselor, HUD-Approved Reverse Mortgage Counselor, and PFE Certified Debt Management Professional. Cambridge Credit Counseling is also approved by the U.S. Department of Housing and Urban Development and by the U.S. Department of Justice Executive Office of United States Trustees to provide bankruptcy related counseling courses.

Approval by the U.S. Department of Justice Executive Office of United States Trustees does not endorse or assure the quality of our services.

Availability Varies by State#

Cambridge Credit Counseling’s services are offered to consumers nationwide. Cambridge is licensed or approved to provide services in every state, many of which have different rules and guidelines specifically for credit counseling agencies. The fees we charge are minimal and are based on these state guidelines.

What to Do Next#

If you are dealing with credit card or other unsecured debt, you can start with a free counseling session from Cambridge Credit Counseling. A certified counselor will review your situation and explain your options, with no obligation to enroll in any program afterward.

Common questions

Is credit counseling from Cambridge Credit Counseling really free?

Yes, credit counseling from Cambridge Credit Counseling is a free service for consumers who are having difficulty paying credit card and other unsecured bills.

Do I have to enroll in a debt management plan after counseling?

No. There is never any obligation to enroll in a Debt Management Plan after a credit counseling session with Cambridge Credit Counseling.

What other services does Cambridge Credit Counseling offer?

Besides credit counseling, Cambridge Credit Counseling offers housing counseling, student loan counseling, reverse mortgage counseling, bankruptcy counseling, and first-time homebuyer education courses.

Are Cambridge Credit Counseling's counselors certified?

Yes, counselors at Cambridge Credit Counseling hold certifications including NFCC Certified Credit Counselor, HUD-Certified Housing Counselor, HUD-Approved Reverse Mortgage Counselor, and PFE Certified Debt Management Professional.

Is Cambridge Credit Counseling available in every state?

Cambridge Credit Counseling works with consumers nationwide from its Agawam, Massachusetts office. Because licensing and other requirements differ from state to state, availability of certain services can vary.

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