We must have heard or read many things about credit score, credit report, types of credit and much more. But what is credit counselling? Is it something like a therapy? Do we have to go to any psychiatrist or psychologist? Is this related to mental health? So many questions would shoot up with this. We have an inquisitive nature when it comes to knowing a new term. With the internet being done easily available and at our fingertips, things have been easier. The information provided by various websites really help us conquering knowledge. However, it is advisable that when things are very delicate, it’s better to be particularly sure so that no mishap occurs.
What is credit counselling?
The word counselling means to get an assistance and guidance resolving any problems or issues. So credit counselling means getting the assistance and the guidance to resolve any problems or issues related to your credit. Specifically, credit score and credit report related problems.
Meeta, a very sincere and not so outspoken girl, was facing major issues. When she did a CIBIL score check, her score was 610. She was confused that how can that happen? She tried all her methods by which she could get her score up for almost 6-8 months. But nothing worked. She was in a mess and wanted to solve this mystery. But how would she do that? She did all that she could? Now there was a need for some professional help. But who helps in such cases? Was her main question. As per her not so outspoken nature, she was feeling too odd to seek any help from people around her. Then, from somewhere, she came to know about credit counsellors.
She researched it and knew in detail about what does credit counsellors do? How does the whole process work? When one has a bad score or the score is in the red zone, in simple language if the score is below 750 or 700 and even after trying in all directions, the score is not going up, one has to approach the professionals who would help you in that. These are the credit councillors. The one who has knowledge in credit advisory. They are certified and experienced individuals who help customers like Meeta.
When you have low CIBIL score, do not feel helpless. Their certified counsellors are trained on what all the client should do in order to get the credit score back to track. They see the credit report in detail, know the customer’s behaviour, his / her reasons for not been able to pay the EMIs on time. They also have the tie-up with banks and it’s manager who could actually help that cutomer in settling the defaulted accounts. Also, they have tie-ups with banks and NBFCs who could help the customer get the loan even after having low credit score in order to repay the old defaults.
They give step by step assistance on regular bases i.e. one in every week. They help the customer understand the importance of credit score, why not make the default, the consequences and the solutions. As the councillors are certified and experienced, they know what solution will work for that particular customer. It is never generic. If to one person they suggested giving a advice of taking a small secured loan to get the score up, does not necessarily they would suggest the same to another customer. There is always a reason and pattern to how the score had dipped. The curve always differs and hence even the solution differs.
The credit advisory like Credit Sudhaar has certified councillors who are certified under NACCC – National Association of Credit Counselling Certification which is nationwide or ACCC which is Association or Credit Counselling Certification. Once the councillor has cleared the certification, it’s not that from very next day he/she becomes a credit advisory. It takes months of training and polishing and understanding to make a credit counsellor who can help the customer work on their low CIBIL score.
So, if you score is low and nothing is happening while you tried, do not feel hesitant. Just as mental or physical health is important, Financial health is equally important. Stay credit healthy, And don’t let you score ruin your loan approvals.