Role of a Debt Counselor in a Debt Relief Firm

Debt counseling is the right choice for people who are interested in helping people in financial crisis. When some individuals find themselves in a financially difficult situation, when they are faced with rapidly mounting debt that they cannot manage on their own, they generally need to contact a debt counselor in a debt relief firm. 

Debt counselors are adept at offering advice on all aspects of finance right from budgeting to wealth management, financial planning relating to debt mitigation or debt relief services. They also represent their clients in court proceedings or creditor meetings.

Expected Academic Qualifications

Beyond everything, a credit and debt counselor is expected and required to have a tremendously strong base in finance and economics, and to possess a working understanding of federal and state statutes, regulations and laws on banking, lending and other aspects of personal finance. 

A bachelor’s degree in business, economics or finance is hence the perfect academic background. 

• Debt Management: Is Settling Right for You?

Your CV will get noticed if you could complement this with a few years’ job experience in the private finance sector. It is noteworthy that several companies value and give precedence to job experience over educational qualifications. To be absorbed into a job, you will be required to attain accredited certification through an examination. 

Necessary Soft-Skills

Besides the knowledge of how to navigate tricky financial situations and come out on top, a debt counselor will need to possess a strong command over verbal as well as written communication as a large portion of his job is the negotiation aspect, which requires him to liaise with creditors, courts and other agencies on behalf of his client. 

An aptitude in mathematics ensures that he is able to crunch the numbers and find the most logical and least expensive way out for his client.

Several employers also stress on knowledge of computers and accounting software. Your communicability is also improved if you are well-versed in a foreign language, which makes it easier for you to serve a particular community besides general clients. 

You will need to blend in with several types of people, and be patient to their plight, hear them out and serve them to the best of your ability. Administrative skills, time management abilities and prioritization are musts for any candidate who wishes to climb the ladder in the debt counseling and relief industry.

What Does a Debt Counselor Do?

A debt counselor is a financial advisor who deals with clients in financial distress. Being a debt counselor, you will be expected to provide emotional, moral and practical support to your clients so that you can see them through their period of indebtedness through financial planning, budgeting, wealth management, and if required, declaration and negotiation of bankruptcy. 

You will have to speak in the clients’ voice and also represent them in all legal proceedings as well as financial negotiations with creditors and their mediators.

The first step of a counselor’s job is analysis. You are expected to list and understand all aspects of the client’s monthly income and expenditure, and also make a list of all the debts, mortgages and leases which have been taken by them. 

Further, you need to prioritize this list to understand which debts are needed to be paid off immediately, so that they do not snowball into much larger amounts. The next step is to devise a payment plan, and then draw up all the paperwork. 

You will need to present your plan to the creditor, negotiate with them and get a written confirmation of the acceptance of the modified payment scheme. The legal aspects soon follow. Several clients may be forced to opt for bankruptcy. In that case it would be your job to help them through it and then assist them in improving their credit scores.

Debt Counselor Job Prospects

The debt relief industry is growing each day, and a steady growth pattern from the year 2010 to 2020 has been predicted by the U.S. Bureau of Labor Statistics. This means that there will be more job openings in the coming years. The indicated median income of a debt counselor in 2012 was $39,420. It is primarily a desk-based job, but sometimes you need to visit offices and courts for liaisons. 

Author Bio: Corey Mather has written several debt reviews and other finance-related articles for his blog. Having worked in the finance sector for over a decade, he has a sound knowledge in this business.

Worried About the Future? Take Control of Your Finances Now

Many people tend to forget that all their habits and spending decisions affect their financial health. Excessive lifestyle and wealthy appearance aren’t worth a dime if it isn’t supported by a realistic and sustainable budget. 

Keep in mind that in today’s market, anybody can lose a job or receive a salary cut. To find the financial footing, you will have to plan ahead and build new habits. Every decision counts and should lead to you living on less than you make.

In your head

Managing money is one of the key skills enabling you to plan the future. It means that the first thing to do is to set your long-term financial goals. In order to do that, you first have to list all your assets and liabilities. This will give you your net worth- a clear picture about your current financial whereabouts.

Next step is to create a personal budget. It’s crucial to know where does your money come from and how are you spending it. This helps you keep track of countless little things you can do to reduce the everyday expenditures. So, put effort to cook at home more often, and save some energy to shrink the bills. Small expenses amass to a large amount after some time.

Take your time when making big decisions and avoid buying on impulse. Visiting a thrift shop won’t hurt your reputation, and it most certainly won’t harm your budget. Learn to say no, and to delay the gratification. Sky is not the limit when it comes to spending, it should be set in your head. 

How about a raise?

If you have debt on your list, try to pay it off as soon as possible. A student loan or a mortgage has its benefits, but interest rates can take a big chunk of your earnings over time. It helps if you have a good credit history, which opens up better loan opportunities. Check your annual credit report, and always strive to improve your credit score.

Sometimes this doesn’t suffice, and people must consider how to earn more money. Finding an extra job is a nice alternative but it’s not always an option. Try to ask for a higher pay, or take on some side projects and extra working hours. Earning money online is today more popular than ever, and there is a myriad of ways to pull this off.

The stock market is another great opportunity for those who know the facts and figures. Even they would have to educate themselves and do the research about the types of brokers and stock hunters. Compare binary brokers with those operating in banks and other financial institutions, and decide which path is best to take. 

Early bird

Even if your expenditures are lower than your income, it’s best to save or invest the money left over. Many make the mistake of spending a ton of cash as soon as they get a raise or other financial boost. They sabotage their finances and end up with an overwhelming debt.

The truth is, it’s never too early to start saving money. That way you can count on a bigger nest egg when you decide to retire. Keep in mind that this is a time when your income drops, but the costs of living don’t. Most experts advise people to save between 10 and 30 percent of their income. You can also start with the smaller amount and increase it gradually.

Starting an emergency fund is also something everyone should consider. Life can be unpredictable and many unpleasant surprises wait around the corner. Spend what is left after saving, not the other way around. Take the long view and keep in mind than all it takes is a determination to get a hold of your finances and your life. 

Future prospects

A starting point of a struggle to improve your financial health is to access your budget and establish a realistic plan. Make wise spending choices and satisfy your needs before any wants. Making an impression on someone and competing with colleagues when it comes to expensive cars isn’t sound financial decision-making.

Tidy up your finances instead, and focus on the future. Even small lifestyle changes can make a big impact on your monthly expenditures. So, set some money aside, eliminate your debt and you are on your way to live a stress-free for the rest of your life.

Top 5 Tips On How To Improve Your Forex Trading

While there is no doubt that each and every one who is in the foreign exchange market wants to make it big, there are many who are not able to make it big. This is mainly because they do not understand the main steps that need to be followed for making it reasonably big in the forex market. 

There is no doubt that there is money to be made in the forex market. However it is very important to understand how to trade well at forex. Here are five important tips that could help to see people making decent money in the foreign exchange market.

Forex Trading is a Serious Business

If you wish to be successful in the forex trading you should understand that it is serious business and one cannot afford to dabble it in it as they do in an online casino game. Yes, there is risk involved in forex trading. Which business does not have risk for that matter? 

The onus therefore lies on you to find out ways and means by which you can mitigate the risks. Hence every time you get into the forex market keeping in mind that there is risk involved, you will learn to be careful and avoid taking rash or impulsive decisions. 

Your main objective should be to ensure that the revenues that you generate from your forex business for a specific period should be more than the expenses and costs that you incur. So, you should learn to look at each and every forex transaction as a cost. This will help you to be more careful and more research and information oriented. 

Learn To Manage Risk And Reward Efficiently

If you are keen on making money in the forex market it is very important for you to draw the right line between risk and reward, and manage that risk effectively. Understanding the basics of position sizing is something that could be considered as indispensable. You should know reasonably well as to how many lots you should trade for each trade setup. This will help you to remain within the risk band-width that you have chosen for yourself.

This will help you to gradually grow your business and avoid massive slipups which could be highly demoralizing or even financially devastating for many. One of the main reasons why people fail in forex trading is because they overshoot their risk appetite or they do not how to adjust their position sizes and activate the much needed stop loss option. 

Over Trading Should Be Avoided

This could be considered as a continuation of the above paragraph. Biting off more than one can chew is perhaps the biggest reasons for massive losses in Forex trading. The biggest challenge is to understand and stop at the point where the risk of overtrading begins. 

This is where many people make the mistake and cross the red line without knowing that they have done it. Being aware of the red line and still continuing with it is akin to taking forex trading as a gambling option than as a serious business. 

Master A Few Strategies

At the end of the day there is no denying the fact that the secret lies in avoid overtrading. To enable this to happen it would not be a bad idea to learn trading off on simplistic price based strategies. It might also be necessary to master them. 

This is because it will provide you with the knowledge that could be helpful in not falling prey to overtrading. Further it will also be not a bad idea to get into some demo trading for the first few months before going to trade with hard money. It will be a good learning ground.

Come Out With a Trading Plan

The next important point is to always have a pre-defined forex trading plan so that you start treating it as a serious business instead of dabbling at it once in a while. You should have a reasonably foolproof business model without which you will not be able to move from one level to another. 

All actions in forex market must be predefined to get the right results. Hence having a plan is of paramount importance.

7 Mistakes That Can Put You In Debt Fast

Being in debt is stressful situation that can be difficult to get out of. Some seemingly harmless actions you take could actually contribute to your debt problems. Try to avoid these seven mistakes that can put you into debt fast.

Living Beyond Your Means

A major mistake is living beyond your means. This means having more in bills for phone, cable, car payments, food, travel and entertainment. than you are bringing into the household every week. Living beyond your means can be solved by making a budget and cutting back on services or other expenses.

Paying Bills Late

Paying your bills late can increase your debt very quickly. You could suddenly be drowning in penalties, late fees and reconnection charges that keep coming every month. Credit card companies will increase interest rates if you are consistently late. Try to pay all your bills on time.

Relying On Credit Cards for Everything

If you are relying on credit cards for everything, then you are building up debt for not reason. You have to pay interest on everything you charge. This can add up fast if you are charging every purchase. This problem gets even worse if you pay only the minimum balance on each bill, and don't charge your card for more money that you have to pay for it. 

Being Charged With a Crime

Getting into legal trouble can lead to overwhelming debt because of fees and penalties imposed by the court. You could even lose some income due to the litigation. You need to consult with an experienced attorney when you are charged with a crime, say the experts at Keyser Law. This way, you can attempt to eliminate or mitigate any financial harm.

Taking Out Irresponsible Loans

You might have the opportunity to take out a large loan for a house, car or other item that seems beyond your means. You might try a payday load for fast cash. Never take out irresponsible loans since they can instantly put you deep into debt. While paying for a house will require a loan, don't take out too many loans for things that are more wants than needs. For example, buying a used, cheaper car is a good alternative to a brand new car you can't afford.

Not Maintaining Any Savings

Emergencies are going to occur, and when they do, you will need money to handle them. If you do not have any savings, then you are at risk of falling into serious debt when an emergency happens. Start an emergency fund today. Experts have recommended to save six month's worth of salary in case of emergencies like a job loss. 

Misunderstanding Balance Transfers

If you misunderstand balance transfers between credit cards, then you can fall into debt fast. If the introductory period expires and you have not taken care of the balance, then you could suddenly be responsible for huge amounts of interest. Use balance transfers sparingly and understand them fully.

You want to be very careful with your money at all times. Never agree to something you cannot afford, never use complicated financial tricks and never pay your bills late. A little patience and responsibility can keep you debt-free.