Many people may wonder when it’s the right time to reach out for help with debt. While every situation is different, key signs are making only minimum payments on credit cards or being unsure of the exact amount of the total debt owed are both strong indicators that more financial wellness support is needed in addition missing a payment on your credit card, auto loan, lease or mortgage. Understanding your options and resources can be freeing. At Elevations Credit Union, we offer all our members access to GreenPath Financial Wellness.* GreenPath provides Elevations members with access to debt management services, financial education tools and free one-on-one financial counseling. The sooner you reach out for support, the faster things can get back to normal.
Financial Wellness Tools
GreenPath has a library of financial education articles, online classes, webinars and calculators. Their resources cover a variety of topics including housing, budgeting, auto financing and more. These tools are useful for members who need help with their credit or simply wish to plan for their financial future.
Free Financial Counseling
GreenPath offers free financial counseling and education to support members who are striving to pay off debt. Their professional, caring coaches will share options, including ways to pay off debt on your own or a Debt Management Plan. During a counseling session, be prepared to answer questions about your finances, debt and current needs so that the counselor can create a personalized plan for your unique needs.
Debt Management Plans
After going through your situation, your financial counselor may recommend a Debt Management Plan (DMP). A DMP is designed with the intent to pay off the entire amount that you owe, usually in three to five years. This can help you pay off credit card debt faster and save money on interest charges.
A DMP may:
- Stop collection calls
- Lower interest rates
- Lower monthly payments
- Waive late fees and over-limit fees
Typical Steps in a Debt Management Plan:
- Once you have decided to sign up for a Debt Management Plan (DMP), your debt counselor will reach out to your current creditors on your behalf.
- They will work with your creditors on things like negotiating monthly payments, waive past-due fees or decreasing your account’s interest rate.
- Once your counselor has been able to talk with all your creditors, they will contact you to discuss the results and the plan they have built.
- If you agree to the DMP, you may need to pay a setup fee and agree to a monthly fee. Elevations Credit Union members do not have to pay any setup or monthly fees for a DMP through GreenPath.
- If you have a new monthly payment, it can be sent electronically to your debt counseling service each month. They then take on the task of sending the agreed-on amounts to each of your creditors.
- Your DMP may include conditions that you close some or all of the credit cards included in your DMP and agree to stop using other credit cards. You may be asked to not open any new accounts or use other cards.
- Your creditors may monitor your credit report and cancel your DMP if they see you are using other credit cards or opening new accounts, and not following your DMP.
- Complete your plan, make your monthly payments and connect with your counselor if you are concerned you might not be able to make a payment in full. Missing a payment could lead to your monthly payments and interest rates rising. Your creditors may also report late payments to the credit bureaus.
Is GreenPath affiliated with Elevations Credit Union?
GreenPath provides debt management services, financial education tools and free one-on-one financial counseling. While Elevations is proud to share GreenPath’s services with our members, GreenPath is a third-party organization not affiliated with Elevations Credit Union. Because of this separation, GreenPath is a neutral source acting on behalf of our members. This means GreenPath can help with credit counseling and Debt Management Plans that cover all of a member’s finances, not just the accounts they have with Elevations Credit Union. See everything GreenPath offers and contact them today.
*GreenPath Financial Wellness is not an affiliate of Elevations Credit Union. The Credit Union does not guarantee the services offered by GreenPath. This free service is only available to members of Elevations Credit Union, and the service is subject to being discontinued with or without prior notice.