Credit counseling & debt help
Nonprofit credit counseling can help you understand your debt, make a budget, and decide on next steps. This page explains what is usually free, what may cost money, and how Credit Footing can help you get matched for free if you want.
A nonprofit credit counselor may help you make a budget and debt plan, and you can still check your credit reports and dispute errors yourself for free.
What credit counseling is — and what it is not
Credit counseling usually means talking with a trained counselor, often at a nonprofit agency, about your budget, bills, and debt. The goal is to help you understand where your money is going and build a realistic plan. For many people, the first counseling session is low-cost or free, but fees and services vary by agency and by state.
This is different from credit repair. Credit counseling focuses on budgeting, repayment options, and debt help. Credit repair focuses on disputing possible errors on credit reports. If you want to understand the basics first, see how credit scores work.
Credit Footing is not a credit-repair company, law firm, or financial advisor. We are a free matching service. We do not provide counseling or repair credit ourselves. We help people connect with a participating provider if they want that help.
What a nonprofit counselor may help you do
A nonprofit credit counselor may review your monthly income and bills, explain which debts are current or past due, and help you build a budget you can actually follow. They may also explain options for dealing with credit card debt, collections, or missed payments. This is general education and planning support, not a promise to change your credit report.
Some agencies also offer housing counseling, student loan counseling, or bankruptcy education. What is offered depends on the agency. A good counselor should explain the service clearly, tell you the cost before you agree, and give you time to think.
A typical first step looks like this:
1. Gather your monthly bills, basic budget, and a list of debts.
2. Have a counseling session by phone or online.
3. Review your spending, due dates, interest charges, and past-due accounts.
4. Discuss options, which may include a budget plan, hardship requests, or a debt management plan.
5. Read any written agreement carefully before you sign anything.
What is free, and what may cost money
Many nonprofit agencies offer a first counseling session for free or for a small fee. Budget review, education, and action steps may be included in that first session. If you only want help understanding your situation and making a plan, that may be enough.
Some agencies also offer a debt management plan, often called a DMP. In a DMP, you make one monthly payment through the agency, and the agency sends payments to certain creditors under the plan. There may be setup and monthly fees, but costs vary by agency, state, and your situation. Ask for the full fee schedule in writing before you agree.
Be careful not to confuse debt management with debt settlement. Debt settlement usually means trying to get creditors to accept less than the full amount owed, and it can involve more risk, including more damage to credit and possible tax issues. A nonprofit counselor should explain the difference in plain language.
If a provider also offers credit-repair services, remember your free DIY rights under the FCRA. You can get your credit reports for free and dispute errors yourself at no cost. No company can legally promise to remove accurate negative information.
Your rights, rules, and red flags to know
If you are thinking about any paid credit-repair service, federal law gives you important protections. Under the CROA, a credit-repair company cannot charge you before the work is done. It also cannot legally promise to remove accurate negative information. It must give you a written contract, and you have the right to cancel within three business days.
For credit reports, the FCRA gives you the right to get your credit reports for free and dispute errors yourself for free. That means you do not have to pay anyone just to challenge information you believe is wrong.
Walk away if a company does any of these things:
- Promises to erase true bad credit or guarantee a specific score increase
- Charges upfront for credit-repair work before work is done
- Tells you to dispute information you know is true
- Tells you to create a new credit identity or use a CPN
- Pressures you to sign before reading the written contract
- Asks for sensitive information that is not needed, like your Social Security number, bank account numbers, or full credit report just to get basic information
Rules and timelines can vary by state and by your own credit file. If you are unsure, ask for the contract in writing and consider speaking with a nonprofit counselor or licensed professional.
What you can do today, for free
You can start with a few simple steps without paying anyone. This is often the best first move, especially if you are new to the US credit system or worried about scams.
- List your monthly income, rent, utilities, food, transportation, and minimum debt payments.
- Check your credit reports for free and look for errors, old addresses, or accounts that are not yours.
- If you find an error, dispute it yourself for free with the credit bureau and the lender that reported it.
- Call creditors if you are behind and ask about hardship options, due-date changes, or payment plans.
- If the problem feels too big to manage alone, talk with a nonprofit credit counselor.
If you are also trying to build or rebuild credit while handling debt, our services page can help you see the main options in one place.
How free matching works at Credit Footing
If you want help finding a provider, Credit Footing can match you for free with a participating credit-repair or nonprofit credit-counseling provider. We are only a matching service. We do not perform counseling, negotiate debt, or repair credit ourselves.
We only ask for basic contact and goal information: first name, phone, optional email, your goal, ZIP code, and preferred language. We do not ask for your Social Security number, financial account numbers, full credit report, income, or date of birth in our matching form.
If you choose to get matched, you must give separate consent to be contacted, including by automated calls or texts where allowed. That consent is not required to use our site or read our guides. Before you enroll in any paid service, read the provider's written agreement carefully, check the fees, and make sure you understand what is and is not included.
Common questions
Is nonprofit credit counseling free?
Often, the first session is free or low-cost, but not always. Some ongoing services, like a debt management plan, may have fees, so ask for the full cost in writing before you agree.
Will credit counseling fix my credit score?
It may help over time if it helps you pay on time, lower balances, or avoid more missed payments, but no one can guarantee a score result. Your credit depends on your own report and payment history.
What is the difference between credit counseling and credit repair?
Credit counseling focuses on budgeting, debt help, and repayment options. Credit repair focuses on disputing possible errors on your credit reports; you also have the right to do that yourself for free under the FCRA.
Do I have to pay someone to dispute an error on my credit report?
No. You can get your credit reports for free and dispute errors yourself at no cost. A legitimate company cannot promise to remove accurate negative information.
What is a debt management plan?
A debt management plan is a structured repayment plan that some counseling agencies offer for certain unsecured debts. You usually make one monthly payment through the agency, and fees and terms vary by provider and state.
What information does Credit Footing ask for?
Only basic contact and goal information: first name, phone, optional email, goal, ZIP code, and preferred language. We do not ask for your Social Security number, bank account numbers, full credit report, income, or date of birth in our matching form.