If your current debt counsellor isn't working out, you have the right to switch to a new one. Many people aren't aware of this, but it's important to understand that you're not stuck with a counsellor who isn’t meeting your needs. Whether they’ve made errors in handling your accounts or aren’t providing the support you need, you can look for better service elsewhere.
Understanding the Role of a Debt Counsellor
It's crucial for clients to understand that a debt counsellor is not a company, just like a doctor is not a hospital. There are many misinterpretations out there. A debt counsellor is a natural, warm-blooded, walking, talking human being. A call center agent, case manager, or agent from a debt counselling company is not a debt counsellor, just as a nurse, admission clerk, or cleaner at a hospital is not a doctor.
Know who your debt counsellor is.
The Process of Switching Debt Counsellors
Switching to a new debt counsellor can help you get back on track, but keep in mind that your new counsellor may not be able to reverse certain actions, like accounts being handed over to legal. However, they can assist with payment arrangements or guide you through the negotiation process if needed.
Fees and Considerations When Switching
When switching, be aware that your new debt counsellor is not allowed to charge you a restructuring fee, administration fee, or application fee. They can only charge a legal fee if you don’t have a court order and need one. This fee is usually included in your proposal and paid off monthly.
Also, your new debt counsellor might offer a credit life policy, but remember, this is voluntary, not mandatory—though it is advisable. After switching, your new counsellor will take over the after-care fee.
Making the Right Choice for Your Financial Well-being
Switching debt review companies is a big step, but sometimes necessary to ensure you get the best service. Your financial well-being depends on having a counsellor who truly understands your situation and can provide the right guidance.
If you have any more questions or need further assistance, feel free to reach out. We're here to help.
Can I Change Debt Review Companies?