What is the primary function of a credit counselor?

The primary function of a credit counselor revolves around assisting clients in managing debt and improving their credit. Credit counselors work closely with individuals who may be experiencing financial difficulties, helping them to understand their financial situation, create budgets, and develop strategies to pay down debts more effectively. They often provide educational resources about credit scores, debt repayment plans, and responsible credit usage.

This process can include negotiating with creditors on behalf of the clients to lower interest rates or create manageable repayment plans. By focusing on debt management and credit improvement, credit counselors help clients regain financial stability and enhance their overall financial literacy, empowering them to make informed decisions in the future. In contrast, other options focus on areas outside of credit counseling, such as investment advice, real estate evaluation, or retirement planning, which are not the main responsibilities of a credit counselor.