Credit Counselors

Credit counselors advise and educate individuals or organizations on acquiring and managing debt. They may also provide guidance on credit issues and on budgeting, mortgages, or student financial aid packages.

Duties

Credit counselors typically do the following:

• Interview clients by telephone or in person to gather financial information
• Explain services or policies, such as about managing debt, to clients
• Help clients understand obligations associated with financial aid options for postsecondary education
• Advise clients in planning for student loan repayment
• Assess clients' overall finances, including income, assets, debt, and expenses
• Calculate clients' available income to create debt management plans, set budgets, and prioritize debt obligations and repayment
• Prepare written documents to establish contracts with or communicate financial recommendations to clients

Credit counselors guide clients in understanding, assuming, and repaying debt associated with credit, loans, and similar financial contracts. These workers may explain various options and educate clients on the short- and long-term costs of borrowing money. Credit counselors also inform clients of the consequences of defaulting on debt, such as bankruptcy or home foreclosure.

Credit counselors advise clients on meeting their financial obligations. For example, prioritizing repayment may include reviewing how changes to personal or financial circumstances affect spending or budgeting. Counselors may negotiate with creditors on behalf of clients to arrange for payment adjustments, such as through interest rate reductions or time extensions. They also may refer clients to social service or community resources for help with food, medical, and other basic needs.

Some credit counselors specialize in a particular area of guidance. For example, housing counselors advise clients on rental agreements, homeownership, foreclosure prevention, and other housing matters. Student financial aid counselors help students apply for, select, and accept loans, grants, scholarships, and other awards to pay for college.

Credit counselors held about 31,800 jobs in 2024. The largest employers of credit counselors were as follows:

Credit counselors typically work in an office setting. Their work may be stressful at times, such as when managing several accounts at once or keeping track of deadlines.

Work Schedules

Most credit counselors work full time. They usually work standard business hours but may need to work in the evenings or on weekends to meet with clients.

Credit counselors typically need a bachelor’s degree to enter the occupation. Candidates with a high school diploma may qualify for some jobs. Once hired, workers typically need several months of on-the-job training to attain competency.

The median annual wage for credit counselors was $50,480 in May 2024.

Employment of credit counselors is projected to grow 3 percent from 2024 to 2034, about as fast as the average for all occupations.

About 2,200 openings for credit counselors are projected each year, on average, over the decade. Many of those openings are expected to result from the need to replace workers who transfer to different occupations or exit the labor force, such as to retire.