Credit counseling can help those facing credit card debt

Once people get behind on their credit card debt payments, fees and other charges could make it almost impossible for them to catch up.

In a recent article for CreditCards.com, Sally Herigstad, a certified public accountant, answered a letter from a person who got behind on their credit card debts. Because of difficulties with their personal finances, the letter writer also ended up making less than the minimum payments on their card. Eventually, the lender closed the account, though the late fees remained.

“Every time your payment is late or is less than the minimum, you pay a fee,” Herigstad said. “And every month your balance remains over your credit limit, you pay another fee.”

Herigstad noted one way people may be able to get out of debt when facing difficulties is through consulting with a credit counseling agency. There are a number of services these organizations can offer, including getting a personal debt consolidation loan.

Debt consolidation works through combining a person’s debt into one loan, which may come at a lower interest rate. One of the convenient things about debt consolidation is that it makes payment easier through a single bill rather than dealing with multiple statements every month.