Consumer Credit Card Counseling is a way of seeking advice or help from specialized counselors by the people seeking loans or who are in debt for a long time. Though the general perception is that while dealing with an indebted consumer many credit card counseling companies act like debt collecting agencies to gain enrollments. They collects or charges heavy counseling fees as much as one installment. Sometimes the credit counseling agencies are paid for and sponsored by the credit card companies even though they say that they are non-profit organizations. These agencies are being paid a percentage between 7-12% of the debt. That is why you should consult with a banker or an attorney to check out whether credit counseling or debt settlement is suitable for your needs.

In normal circumstances Consumer Credit Counseling is a advisable for people with low debt & long term repayment cycle. Consumer Credit Counseling agency contacts your creditors on your behalf & negotiates reduced interest rates on your accounts so as to set you up with a reasonable monthly payment, which they will distribute to your all creditors. In normal circumstances depending on the amount of debt, repayments period can be  up to 5 years or so.