What are Licensed Insolvency Trustees, credit counsellors, and debt settlement businesses?

Learn what non-profit credit counsellors do

Non-profit counsellors and for-profit credit counsellors can offer you similar services. Both will:

  • give you advice on your financial situation
  • speak with your creditors to arrange a plan
  • help you negotiate monthly payment amounts and
  • help you plan your future finances to stay out of debt

For-profit credit counsellors charge standard fees that can be expensive. But have an ethical code they must follow. That code helps to protect you. Non-profit credit counsellors are often willing to negotiate a lower fee, and sometimes they charge no fee at all.

Non-profit credit counsellors are always members of one of these associations:

You can contact these associations to find a non-profit service near you. If a credit counsellor is not a member, they are not an accredited non-profit credit counsellor. And if a credit counsellor is not accredited, they might not follow the ethical code.

If you decide to use a for-profit credit counsellor, make sure that you only agree to pay for services that you can afford. Make sure to check the contract for extra fees and to see what interest rate they will charge you if you are late paying any fees.

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