If you want to help people get their finances back on track, then you should learn how to become a certified credit counselor.The professionals evaluate a client's financial status, including debt and income, and make recommendations on what the next step should be.Credit counselors help clients set up budgeting and expense tracking programs.Credit counselors can work for banks or credit counseling agencies.
Step 1: You can get a bachelor's degree in a related field.
Having a college degree will make you more competitive in the job market, even though you may be able to find work as a credit counselor without one.There are many different majors you can choose from if you want to pursue a career in credit counseling.A degree in accounting, finance, economics, or math will give you the knowledge you need to be a credit counselor.A degree in social work, counseling, psychology or a related field may be helpful, as credit counselors often offer advice and guidance to individuals who are going through hard times.Take courses in more than one of these fields if you are just starting college.One could be your major and the other your minor.You will be required to communicate complex information to your clients in a way that is easy to understand if you take courses in communications and teaching.CPAs, Certified Financial Planners, and lawyers are well-equipped to become credit counselors.
Step 2: There is a good understanding of finances.
It's important that you have a good understanding of how to crunch numbers and manage money no matter what degree you're in.If you are going to give guidance, you need to know how to do it yourself.Credit counselors need to be able to help clients with things like setting financial goals and making plans, developing and analyzing financial statements, managing credit and debt, understanding financial risks, accessing financial assistance programs, investing, saving for retirement, and estate planning.It is important that you have a basic understanding of the concepts before you start your credit counseling certification program.Take a few courses in accounting if you feel you don't have these skills.
Step 3: Have great people skills.
You will need to be an excellent communicator in order to succeed as a credit counselor.It's important that you know how to talk to people because you will likely be dealing with clients who are facing tough realities like foreclosures or bankruptcies.You can improve your ability to speak to clients in a sympathetic and helpful way if you take a few classes in psychology or a related field.Customer service is a great way to gain experience.You can get a part-time job in retail, at the front desk of a medical office, or at a restaurant if you are in school.These jobs are not related to credit counseling, but they will teach you how to talk to different people.You can look for volunteer opportunities that will allow you to spend a lot of time with other people.
Step 4: You should be an excellent negotiator.
If you want to work for an agency that provides debt management solutions to clients, you will need to be able to negotiate with lenders in order to reduce or consolidate their debts.Some people are good at negotiation, while others need practice.If you can, look for a job that will allow you to practice your negotiating skills while you are in school.It is possible to help develop these skills by working in sales.Some credit counselors don't offer these types of services.They teach their clients how to make good financial decisions.
Step 5: Understand how certification benefits you.
You will be more appealing to prospective employers if you have a certification in credit counseling.The certification program will give you specific knowledge that will be helpful to you as a credit counselor, compared to the college degree program.It's important to choose a trustworthy certification program.Several organizations in the finance industry offer programs.If you don't have a background in a related field, a certification will show potential employers that you are knowledgeable about credit and debt.You may want to consider applying for jobs at credit counseling agencies that offer training for new employees.
Step 6: If you want to get certified, check outReputable institutions.
It can be difficult to understand which institutions areReputable and which are not if you choose to pursue a certification through an institution other than a college or university.You need to do a lot of research on any program.The Association for Financial Counseling and Planning Education is one of the institutions that offers training programs.
Step 7: A general or specialized certificate program is what you should choose.
It's important to research and find out which credit counselor certification is right for you.Some programs offer more specialized certificates.It's a good idea to pursue a general certificate if you don't know what type of credit counseling you want to do.Try to work in different areas to see what appeals to you.Student loans, housing, debt management, and financial health are some of the specialty areas you might consider studying.It's possible that multiple certificates will make you even more popular.Prospective employers may want to know that you have both general knowledge about credit counseling and specific knowledge of student loans, for example, if you would like to work with clients who are considering studentloans.
Step 8: The coursework is required for certification.
You can complete your studies online, in a classroom or on your own.It's important to consider what format would work best for your program.Many programs offer you the ability to study at your own pace, which means you can pursue a certificate while still maintaining your normal schedule and attending to all of your responsibilities.Before choosing which type of course to take, be sure to compare the costs of different programs.
Step 9: You need to pass the certification exam.
You will need to take an exam at the end of the course if you want to earn your certification.To improve your chances of passing, be sure to devote plenty of time to studying for the exam, as you will have to pay for it.Before you start the program, find out how your test will be administered.Paper tests are typically available less frequently than internet-based tests.
Step 10: Start looking for a job as a credit counselor.
It's time to start looking for your first job once you have the skills and training to be a credit counselor.You can start by looking through listings on online job boards.It's a good idea to contact local credit counseling agencies if you're looking for a credit counselor job.The cover letter and resume should detail your training and experience.It's also important to network.If you want to get in touch with people in the field, be sure to let them know what kind of job you're looking for.It's a good idea to attend industry conferences and job fairs to meet people that can help you in the future.Networking is easier than ever thanks to social media sites.
Step 11: You can apply to credit counseling agencies.
You should only apply to companies that you want to work for if you are looking for a job with a credit counseling agency.Do some research on the company in order to find out if they are trustworthy.The Executive Office for United States Trustees' website has a listing for the agency.The site has a complete list of credit counseling agencies that are able to help people with their credit.Do you know if they're accredited by a third-party organization?Credit counseling agencies are also accredited by the Better Business Bureau.To find out if the agency you want to work for has Section 501(c)(3) status, check the IRS website.
Step 12: Start your own credit counseling business.
It is a great option for certified credit counselors to work for an established lender or credit counseling agency.If you would rather be your own boss, you may want to start a credit counseling agency.If you want to start a business, make sure you can afford the start-up costs.The feasibility of your business can be determined by writing a solid business plan.You need to register with your state in order to operate as a credit counseling agency.There are regulations and processes for applying for a license in each state.The licensing board in your state can give you more information.If you want to start your own credit counseling business, you will need a certification from a good agency.Some states require surety bonds to protect clients.
Step 13: You should keep your credit counseling certification up-to-date.
Don't forget to keep your credentials up to date once you become a certified credit counselor.You have to be re-certified every two years.The agency that issued your original certification will determine the process for renewing your certification.Getting re-certified on a regular basis is a good thing for you because it will ensure that you stay current on the latest laws, regulations, and government programs.You need this knowledge to help your clients.