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Basics Beginner: Consumer Credit Counseling Agencies

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1.
A consumer credit counseling agency generally may help you in all of the following ways except ________.
Choose wisely. There is only one correct answer.
File bankruptcy. A consumer credit counseling agency generally would not help you file bankruptcy.
2.
The primary purpose of a consumer credit counseling agency is to help consumers file for bankruptcy.
Choose wisely. There is only one correct answer.
False. The primary purpose of a consumer credit counseling agency is to help consumers pay off debts and stabilize their finances.
3.
When a consumer participates in a debt management plan, creditors often ________.
Choose wisely. There is only one correct answer.
Eliminate late fees. Since you are working to repay the debt, creditors will often work with you and waive late-payment fees.
4.
A big advantage of working with a consumer credit counseling agency is that your plan continues even if you miss a payment.
Choose wisely. There is only one correct answer.
False. When you work with a consumer credit counseling agency and miss a payment, creditors may start collection actions.
5.
A big advantage of working with a consumer credit counseling agency is that you pay only a small portion of your unsecured debts.
Choose wisely. There is only one correct answer.
False. If you agree to a consumer credit counseling agencys debt-management plan, you agree to pay all debts in full.