NFCC and Other Nonprofit Credit Counseling Providers Offer New Service Providing Emergency Credit Card Payment Relief

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The National Foundation for Credit Counseling® in conjunction with the Financial Counseling Association of America and independent nonprofit credit counseling agencies has launched a new program to provide financial guidance and direct assistance for people financially impacted by the COVID-19 pandemic.

NFCC nonprofit financial counseling and debt repayment help

National Foundation for Credit Counseling

For each financial challenge faced by people most directly impacted by the COVID-19 pandemic, there is an NFCC Certified Credit Counselor ready to assist with access to emergency relief as well as a roadmap for long-term financial recovery.

In response to the economic crisis stemming from the COVID-19 pandemic, the National Foundation for Credit Counseling® (NFCC®), Financial Counseling Association of America (FCAA), and independent nonprofit credit counseling agencies have launched a new service to provide assistance for those in danger of falling behind on their credit card or mortgage payments. This comprehensive range of counseling services provides advocacy and support for consumers who are in need of a temporary reprieve from monthly payments.

“The coronavirus pandemic has delivered a significant financial setback to millions of consumers who have suffered income reduction or loss of employment,” says NFCC President and CEO Rebecca Steele. “By leading the nonprofit credit counseling sector and developing a program for immediate credit card and mortgage payment relief, we have made it possible for people to use more of their limited financial resources for the most urgent needs while protecting their financial well-being.”

The 2020 Consumer Financial Literacy Survey, released yesterday by Discover and the NFCC, reveals that six out of ten consumers were already experiencing difficulties repaying their debt before the pandemic had resulted in widespread cutbacks and unemployment. Consumers remaining at risk of falling behind and not able to make minimum credit card payments can receive guidance related to payment deferment programs, and can experience the following benefits through the program:

  • Free counseling for emergency credit card payment relief
  • No long-term commitment
  • Participation from most major creditors
  • Accounts in good standing will remain open during deferment
  • Deferment plans do not damage credit or result in late fees
  • No debt collection action during payment deferment

Services are also available to anyone who is seeking mortgage forbearance assistance or for small business owners in search of guidance related to emergency loans and grants.

Nonprofit credit counseling agencies are also able to provide long-term solutions for people who face a prolonged period of inability to repay their credit card debt, student loan debt or mortgage payment.

For people already enrolled in a Debt Management Plan (DMP), options are available to reduce monthly debt payments for as long as necessary or to place payments on forbearance in more severe hardship situations.

Services related to emergency credit card payment relief are now available. Anyone needing assistance can call 844-865-1971 or visit https://www.nfcc.org/what-we-offer/emergency-credit-card-help/ to connect with an NFCC Member Agency.

About the NFCC
Founded in 1951, the National Foundation for Credit Counseling® (NFCC®) is the nation’s first and largest nonprofit dedicated to improving people’s financial well-being. With a national network of member offices serving 50 states and Puerto Rico, our NFCC® Certified Credit Counselors are financial advocates, empowering millions of consumers to take charge of their finances through one-on-one financial reviews that address credit card debt, student loans, housing decisions and overall money management. Make one of the best financial decisions of your life. For expert guidance and advice, call (800) 388-2227 or visit http://www.nfcc.org today.

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Bruce McClary
NFCC
202-677-4301
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