Where are you located?

Our headquarters is located in Farmington Hills, Michigan and we have local offices located throughout Michigan, New York, Wisconsin, Illinois and Arizona. We are also licensed in most states so we can conduct phone appointments if we do not have an office in your area. Visit our Locations page to get addresses for each of our offices.

How long does a counseling session take?

Plan on spending an hour meeting with a counselor. You will need to bring a recent pay stub and all of your creditor statements. At the end of your session you will receive a personalized budget and action plan.

Can I keep some of my credit card accounts open during a debt management program?

If you need to keep one card for emergency or business purposes, you and your counselor can discuss the situation and evaluate your options. Some creditors require that you include all credit cards or they will refuse to grant you concessions. A few even conduct periodic audits to remove people who open lines of credit after beginning a program. But we can normally work something out.

What are the fees for your service?

We do not charge anything for a consultation or counseling session. We will ask you a few basic questions about your income and debt amounts. Then you would then have the option of scheduling an appointment with a certified counselor to discuss your situation in more detail. Besides all of your creditor statements, we ask that you bring a copy of a recent credit report to the initial counseling session. If you don't have one, GreenPath can provide you with a credit report for a nominal charge.

We do charge a fee for our debt management program. Please keep in mind that we are different from other companies because we negotiate with creditors on ALL types of debt, not just credit cards. The one-time setup fee is $25 or $50 depending on your state of residence. The average monthly fee for a debt management program is about $36, with the maximum set at $50. The more we are handling for you, the greater your benefit (savings) and the higher your fee. In discussing your options, a counselor would give you two scenarios --- one if you pay the debts on your own and one if you pay through GreenPath. And then the choice is yours.

How will your debt management program affect my credit report?

The impact on your credit report may be positive or negative, depending on your situation and the specific creditors involved. GreenPath does not report any information to credit bureaus. Only your creditors report information, and there is a wide variance in the way they do so. We recommend that you take a long-term approach. Focus on resolving your financial situation and your credit report will improve over time.

Paying bills on time is the single most important contributor to a good credit score. Any late payments are viewed negatively by lenders, and remain on your credit report for 7 years.

There are lots of credit counseling companies out there. Why should I choose GreenPath?

• We're local. Do you trust sending your money to a company you can't see or touch? Stop in and visit us at one of our branch offices.
• We help you with all your debts. Most credit counseling companies include only credit cards and unsecured loans on a program. GreenPath has relationships with all creditor types and our debt management programs include all types of debt except federal taxes. We negotiate forbearance agreements to prevent home foreclosure, work out extensions to prevent vehicle repossession, work out payment plans to prevent shut off, etc.
• We offer you a choice of service by phone or in-person.
• We're professional. All counselors are certified and have earned at least a Bachelor's Degree.
• Our technology ensures that your payments are sent on time in the quickest manner possible --- electronically to all creditors that can accept electronic payments. You can also make automatic deposits and view account information electronically.
• We're efficient. Many credit counseling companies send payments to creditors only once or twice a month, whereas we send payments to creditors on a daily basis.
• We're experienced. We helped pioneer the credit counseling industry in 1961.
• We're accredited by the Council on Accreditation for Children and Family Services. And we're members of the Better Business Bureau and the National Foundation for Credit Counseling.
• We're honest. We won't surprise you with any hidden costs or make promises we can't keep.

If you ultimately decide to file for bankruptcy, GreenPath can help you through the process. We can help you find a professional, local attorney who is priced fairly and is experienced in bankruptcy. We can educate you on your options and the bankruptcy process, and we can help you establish a post-bankruptcy budget to begin your “fresh start” on the right foot.

Don't be tempted by the short-term relief offered by bankruptcy without considering all the facts. Contact GreenPath to learn more about your options before making such an important decision.

I was recently turned down for a car loan. Can your company help improve my credit rating?

No company can improve your credit rating. Your credit rating is derived from information your creditors report to the three national credit bureaus: Equifax, Experian and Trans Union. Factual credit report data cannot be changed or removed by any company. It will disappear from your credit report in 7-10 years, depending on the nature of the data.

However, sometimes your credit bureau information includes obsolete or inaccurate data. Credit repair companies dispute inaccurate or obsolete credit report information on behalf of their clients, but do not negotiate or provide any other services that you cannot perform on your own.

We recommend that you view your credit report. You can obtain a credit report from GreenPath Debt Solutions, and can even schedule a session to review the report with a certified credit report professional. Or you can contact the credit bureaus yourself:

• Equifax - 800-685-1111 - www.equifax.com
• Experian - 800-682-7654 - www.experian.com
• TransUnion - 800-888-4213 - www.transunion.com

The typical charge is about $10 to obtain a credit report from one of the bureaus. You may be eligible to receive a free report if:

• You have been turned down for credit, employment, or insurance based on the report's information within the last 60 days
• You are unemployed or on public assistance
• You are a victim of fraud

Review your credit reports. If you believe any information is inaccurate, you can contact the specific credit bureau to request an investigation. If you are working with a credit repair company, you should know that the Credit Repair Organizations Act requires for-profit credit repair companies to perform their services for you before collecting any money.

How long does negative credit information stay on my credit report? Is there any way to remove it?

There is no way to remove accurate information from your credit report. It normally remains on your credit report for 7-10 years, depending on the nature of the data:

• Accounts paid as agreed remain for up to 10 years.
• Accounts not paid as agreed remain for 7 years.
• Collection accounts remain for 7 years.
• Bankruptcy information remains for 10 years from the date filed.
• Legal judgments remain for 7 years.
• Paid tax liens remain for up to 7 years.
• Unpaid tax liens remain indefinitely.

In the state of New York, paid judgments and paid collection accounts remain for 5 years. In California, unpaid tax liens remain for 10 years.

What is the difference between credit counseling and debt consolidation? The ads all sound similar.

When a mortgage or finance company uses the term "debt consolidation" they are referring to a loan. This is usually a loan that takes equity from your home to pay off credit cards. This option lets you pay off higher interest credit cards immediately, but lowers your equity and ultimately costs you more money over the life of your loan.

Credit counseling should teach you money management skills and help you make important behavior changes. It should provide you with a personal budget, action plan, options, and counselor recommendations. It may also include a debt management program that reduces fees and interest charges, and consolidates your debt into one monthly payment to us that we use to pay your creditors on your behalf.

What is your opinion of home equity loans to pay off credit card debt?

You really have two issues to address. Number one, you need to figure out a way to pay down your current debt. Secondly, and most importantly, you need to make behavior and/or lifestyle changes to make sure your credit card spending is limited to a level you can afford. (This does not mean simply being able to afford the minimum payment.) If you take a home equity loan and fail to change your spending habits, you will most likely end up right back in the same predicament within two years. And, thanks to your home equity loan, you will have more debt and fewer assets.

Keep in mind that the equity in your home is one of your most valuable assets. It's a nest egg that provides financial security for your future. And when you tap into it, you reduce your assets. What if the unthinkable happens and you have trouble paying your bills again? What if you have a financial emergency and are short on money? If you default on a home equity loan you risk losing your home. Credit card companies cannot foreclose on your home, but home equity lenders can because the loan is secured by your home.

Generally speaking, a home equity loan would restructure your existing debt over more years at a lower interest rate. Over the term of the loan, you'll end up paying much more in interest. Also, you are required to pay Private Mortgage Insurance (PMI) if you have not paid off at least 20 percent of the home's appraised value. So you will never get rid of PMI if you don't maintain sufficient equity.

Do you have the financial resources to quickly pay back what you borrow in a home equity loan? Do you have enough money in the bank for financial emergencies? Are you disciplined enough to live within your means? If the answer to all three questions isn't yes, think twice about taking on that home equity loan!