Understanding the roles of the trustee, the credit counsellor, and the debt negotiator

February 27, 2013 by · Leave a Comment
Filed under: Bankruptcy, Debt Management, debt relief, Videos 

I work as a debt counsellor, which means that I help people who are dealing with debt. One of the biggest services I provide is information. The following videos details the roles of the three main debt managers in Canada: The trustee, the credit counsellor, and the debt negotiator.

Please note that one is not “better” than the other. They are different. Which means that each provides a good service to someone. As a debt counsellor, I can help you identify which solution would work best for you.

What a debt counsellor does for you

We understand that many people who are in financial crisis struggle with getting the right information. Not because they lack intelligence, but rather because they lack experience and simply don’t know where to begin looking for help. After all, financial crisis is not a common occurrence in one’s life: it’s an anomaly, an unusual, one-time event. Read more

Debt chart

December 9, 2011 by · Leave a Comment
Filed under: Bankruptcy, Debt Management 

You may have heard tell that the magic of investing lies in compound interest. Understanding how compounding interest works is important when you begin looking for debt relief options, because it will help you see that it’s misleading, and offers a stupid return on their initial loan. If you are rebuilding your credit, here’s good reason to avoid these “products.”

Compound interest is when they charge interest on interest, when the interest charged on the principal is then added to the principal. In a sense, it’s charging (or earning) interest on interest). Banks and credit card companies are full of this kind of magic. Here is a chart detailing the number of years required to pay off a credit card balance. It assumes 19% interest and a minimum monthly of 2.1% of the outstanding balance. Usually credit cards require a minimum monthly payment between 2.0% and 2.5% of the outstanding balance. Source: CNN Money

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Selling debt solutions to an uninformed public

November 17, 2011 by · Leave a Comment
Filed under: Bankruptcy, Debt Management, Information Seminar 

Every marketer needs to ask the critical question, “What’s in it for the consumer?” Toothpaste manufacturers know people don’t pay for toothpaste; they pay for either white teeth or cavity protection. Car dealers know people don’t buy cars, they buy a safe mode of family transportation or an image (wealth, muscle, or beater). Read more