Bills Logo

Free Credit Counseling Help

Get rid of your debt faster with debt relief

Choose your debt amount

See if you qualify

Or speak to a debt consultant  844-731-0836

Daniel Cohen
UpdatedMay 27, 2024
  • clock icon
    4 min read
Key Takeaways:
  • Free Credit Counseling options are available.
  • Make sure that you start with the right debt solution.
  • Credit counseling should be compared against all debt consolidation options.

Credit Counseling Tips & Free Do-It-Yourself Credit Counseling Advice

The cheapest credit counseling, in terms of fees paid, is the kind you do yourself, but if you're having trouble with that, you can find free or low-cost counseling from a variety of agencies and public entities. There are many non-profit credit counselors out there, but be sure to do your homework, so that you can know first what your credit and debt needs are, then determine what credit or debt solution is right for you and finally what type of provider you should choose. If you need a place to start your research on what debt solutions are out there, be sure to check out our tips on debt consolidation options and also our new debt and credit comparison. It is also important to not just focus on the fees charged by a credit or debt firm, but on what your needs are and how they are met by that specific solution or firm. For example, while you may pay a credit counselor a small monthly fee there is a chance that they can get you onto a personalized Debt Management Plan that saves you more money overall.

Do-It-Yourself Credit Counseling

Although it's not technically counseling, you can do many of the things that credit counselors do on your own - including getting on hardship programs, lowering your interest rates, cut your monthly payments with your creditors and saving on the total cost of your debts. This will certainly involve some work, however, as you will have to call and negotiate directly with your credit cards to qualify for their hardship programs.

Most services offer budgeting forms and money management advice. You can learn to budget your money by borrowing personal finance and budgeting books from the library or following advice available on If you need budget software, you can find several free online sites to help track your spending and bills. One that we recommend is

If your credit is decent, you can arrange a debt consolidation loan through a refinance loan, credit card balance transfer, personal loan, or home equity loan without involving a credit card counseling service.

You can also negotiate for lower interest rates directly, simply by calling your credit card company and asking. If you have serious debt troubles, you can explore debt settlement and this is a service that is time consuming by something that you can do on your own for free as well, if you have the skills, wherewithal and patience.

Professional Free Credit Counseling

If you've tried all of the self-managed credit counseling tools above on your own without success, or if you feel you need professional help, you can find it free. Many reputable counseling agencies offer free counseling for those in serious need. They may also provide free education materials and budgeting forms.

Certain programs are not free, however. Debt management programs nearly always include some kind of fee, although it varies by the amount of debt included and your ability to pay. Ask for a list of estimated fees before agreeing to anything.

If debt settlement is your only option, then it will also usually require a fee. Very few people succeed in settling debts on their own, but you can try.

Where to Find Credit Counseling and Debt Relief Providers

If you need consumer credit counseling, start by applying with and our prescreened providers of general debt relief savings quotes.

If none of the above is available to you, you can also contact local housing agencies for help. Because they're funded by the government, they often provide free services.

Finally, contact a local community center to see if any local groups provide services. Several community centers offer money management classes that are free or low-cost. They may also be aware of volunteer organizations that provide free counseling.

If you need debt help, creating your own solution is often the cheapest option. However, many people need professional help. There's no shame in asking for it. You can find free counseling if you're willing to look a little harder, but don't delay if you have a serious debt problem. Use these tips and keep researching to find your own path to debt freedom.

Struggling with debt?

Mortgages, credit cards, student loans, personal loans, and auto loans are common types of debts. According to the NY Federal Reserve total household debt as of Q1 2024 was $17.69 trillion. Housing debt totaled $12.82 trillion and non-housing debt was $4.88 trillion.

According to data gathered by from a sample of credit reports, about 26% of people in the US have some kind of debt in collections. The median debt in collections is $1,739. Student loans and auto loans are common types of debt. Of people holding student debt, approximately 10% had student loans in collections. The national Auto/Retail debt delinquency rate was 4%.

Each state has its rate of delinquency and share of debts in collections. For example, in Illinois credit card delinquency rate was 3%, and the median credit card debt was $397.

While many households can comfortably pay off their debt, it is clear that many people are struggling with debt. Make sure that you analyze your situation and find the best debt payoff solutions to match your situation.



SShannon, Feb, 2012
I have 2 (federal)student loans (total about $6k) and several smaller (medical) debts that are derogatory on my credit report (maybe $2000 not sure on the total). I would like to buy a home within the next 36 months. My credit score is below 600 at the moment and I would like to improve it before I buy, for lower rates. I have a great budget in place and about $700/month to put towards paying off debts. Do I A) save for a lump sum payoff of the student loans and then pay the smaller debts one at a timeB) pay the smaller debts first and then a lump sum pay off of the loansC) Make auto pay arrangements to pay off the student loans over a period of time AND work on smaller debts along the way ex: $500 to loans and $200 to "other"D) something else I havent thought of yet.
BBill, Feb, 2012
We answered a similar question from a reader in the resource Bigger Down Payment or Smaller Existing Debt? Your question is more detailed, but the concepts and analysis we used in the link I just mentioned are the same. A 36-month plan is aggressive but achievable if you have an FHA loan in mind.