Why More People Are Turning to Credit Counseling with Neile Simon

Inflation has cooled from its recent highs, but for many households, the financial strain has not disappeared. Over the last several years, families have faced rising costs for groceries, insurance, housing, utilities, and other everyday needs. And for many, credit cards became the tool they used to make ends meet. Neile Simon, a Certified Credit Counselor and Director of Strategic Partnerships at Christian Credit Counselors, joins the show today to share how many families are now carrying the balances they built up during those difficult years. And with credit card interest rates often running between 22% and 30% APR, making real progress can feel almost impossible. That is where credit counseling can help. Why So Many Families Feel Stuck Many households are not dealing with credit card debt because of careless spending. In many cases, families were simply trying to stay afloat. When wages do not keep pace with rising expenses, even a well-intentioned budget can become difficult to maintain. Then, once balances accumulate, high interest makes repayment feel overwhelming. A family may make payments faithfully each month, only to see most of that money go toward interest rather than reducing the principal. For some, the pressure has increased further as student loan payments have resumed, placing added strain on budgets already stretched thin. The result is a cycle that can feel discouraging: payments continue, but the balance barely moves. The Good News: More People Are Seeking Help One encouraging trend is that financial literacy is growing. More people are becoming proactive in understanding their options, learning how debt works, and seeking responsible ways to repay what they owe. Online tools and educational resources can be helpful, especially when they explain the difference between debt management and riskier debt settlement programs. But every financial situation is unique. That is why it is wise to talk with a trained counselor who can review your specific circumstances and help you create a plan. Early action can make a significant difference. The sooner someone seeks guidance, the more options they may have. How Credit Counseling Can Help Credit counseling is designed to help people break the cycle of high-interest payments and begin making real progress. A reputable credit counseling agency can review your income, expenses, debts, and goals, then help you determine the best path forward. For many people, that may include a structured debt management plan. Through Christian Credit Counselors, for example, clients may be able to reduce credit card interest rates to between 1% and 12% APR, with rates fixed for the length of the program. That can make a major difference. Lower interest means more of each payment goes toward reducing the balance. In many cases, monthly payments may also be lowered, creating more breathing room in the budget. For those who have fallen behind, enrollment in a credit counseling program can also help stop late fees and collection calls. But most importantly, it allows clients to repay their debt responsibly and honor their commitments in full. A God-Honoring Approach to Debt At FaithFi, we appreciate credit counseling because it offers a practical and responsible way to address debt without pretending the debt does not matter. The goal is not to avoid responsibility, but to create a wise plan for repayment. That is one reason we value the work of Christian Credit Counselors. Their approach is not merely transactional. They care for the people they serve, build relationships with clients, pray with them, and seek to ease the stress and strain of credit card debt by offering solutions that honor God. Debt can feel overwhelming, but it does not have to be faced alone. With wise support, a clear plan, and faithful perseverance, progress is possible. To learn more, visit FaithFi.com/CCC. On Today’s Program, Rob Answers Listener Questions: My father passed away less than a year ago and left money to his children. I’ve lived paycheck to paycheck most of my life, and while my wife wants to buy a house and a truck, I’d rather slow down, plan for the future, invest wisely, and think about leaving something for our kids. What’s the best way to approach this? And is it worth meeting with a CKA, even if I’m not sure the amount is large enough? I have two children, ages six and eight, and I’m overwhelmed by about $25,000 in debt, including roughly $17,000 in credit cards and several loans. I’ve tried to rework my budget, but rising costs for gas, groceries, and school activities have made it feel impossible. I’ve looked into a debt management plan, but Christian Credit Counselors can only help with the credit cards, not the loans. Should I pursue debt management, consider bankruptcy, or take another step? My husband and I are buying our first home, but everything we’re considering is near the top of our budget. With market uncertainty, is it wiser to buy now and secure a home for our future family, or wait and save for a larger down payment to lower the monthly cost? Resources Mentioned: Faithful Steward: FaithFi’s Quarterly Magazine (Become a FaithFi Partner) Christian Credit Counselors (CCC) Our Ultimate Treasure: A 21-Day Journey to Faithful Stewardship by Rob West Wisdom Over Wealth: 12 Lessons from Ecclesiastes on Money Look At The Sparrows: A 21-Day Devotional on Financial Fear and Anxiety Rich Toward God: A Study on the Parable of the Rich Fool Find a Certified Kingdom Advisor® (CKA) FaithFi App Remember, you can call in to ask your questions every weekday at (800) 525-7000. Faith & Finance is also available on Moody Radio Network and American Family Radio. You can also visit FaithFi.com to connect with our online community and partner with us as we help more people live as faithful stewards of God’s resources. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.