As outlined by numerous published estimates, there are millions of people in the US that are having financial problems with their credit card debt. This debt is principally credit card debt, however personal loans seemingly also account for a considerable part as well. Luckily, the positive thing is that a http://ezinearticles.com/?Consumer-Credit-Counseling-and-Debt-Settlement-101---Debt-Relief-Help-in-Plain-English&id=4146174solution widely known as credit counseling or a debt management plan can be extremely beneficial for these consumers, especially when they have high interest rates. The technical name of the solution is called a DMP (debt management plan), and it can offer consumers a number of essential benefits:

• Lowering your interest rates
• Reducing the payoff timeframe significantly
• Ending over-limit and late fees 
• Updating the accounts to current status
• Ending annoying collection telephone calls
• Simplifying paying your bills with a consolidated monthly payment
• Preserving the consumer's credit score
• Providing financial counseling to educate the consumer
• Avoiding bankruptcy

In order to be eligible for a debt management program, the consumer needs an in-depth financial analysis with a debt counselor in order to verify:

1. That the consumer is encountering a financial hardship, and
2. That they are able to afford the regular monthly payments needed to effectively finish