What does a Credit Counselor do?
Published 3 min read
A credit counselor is a professional who helps people manage their debt and improve their credit. Counselors work with individuals and families to create a budget, negotiate with creditors, and develop a plan to pay off debt. They also provide education on financial management and credit repair.
Credit Counselor job duties include:
- Meeting with clients to discuss their financial situation
- Assessing client's needs and developing a budget
- Negotiating with creditors on behalf of the client
- Helping clients develop a plan to get out of debt
- Providing education and counseling on financial management
- Referring clients to other resources as needed
- Keeping accurate records and documentation
- Maintaining confidentiality of client information
- Meeting performance goals set by supervisor
Credit Counselor Job Requirements
To work as a credit counselor, you will need at least a bachelor's degree in a field such as finance, accounting, or business. Some employers may prefer candidates who have a master's degree in business administration (MBA) or a related field. You will also need to be certified as a credit counselor by a professional organization such as the National Foundation for Credit Counseling (NFCC). In addition to education and certification requirements, you will need several years of experience working in the financial industry to be considered for a job as a credit counselor.
Credit Counselor Skills
- Patience
- Active listening
- Communication
- Problem-solving
- Organizational
- Time management
- Research
- Computer
- Persuasive
- Interpersonal
- Conflict resolution
Related: Top Credit Counselor Skills: Definition and Examples
How to become a Credit Counselor
There are a few things to consider if you want to become a credit counselor. The first is whether you have the necessary skills and qualities. Credit counselors need to be able to empathize with people in debt, be non-judgmental, and be excellent communicators. They also need to be able to negotiate with creditors on behalf of their clients.
If you have the necessary skills, the next step is to get certified. Certification requirements vary by state, but most states require credit counselors to have at least a bachelor’s degree and to pass an exam. Once you are certified, you can start working as a credit counselor.
Most credit counselors work for nonprofit organizations that provide free or low-cost counseling services. Some also work for for-profit companies, banks, or credit unions. You can also start your own credit counseling business.
If you want to become a credit counselor, consider whether you have the necessary skills and qualities. If you do, get certified and start working for a nonprofit organization or other company that provides credit counseling services.
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