According to a recent study by RealtyTrac, home loan foreclosures in Georgia during 2007 shot up 31 percent over those filed in 2006. This put the total number of Georgia homes entering foreclosure during 2007 at just under 100,000. This gives our state the dubious distinction of being ranked seventh in the nation in number of foreclosures filed.

In addition, according to a study released by Bank of America, there is an estimated $360 billion worth of adjustable-rate mortgages due to reset in 2008. Much of that debt will reset to higher rates than borrowers are currently paying, and this may fuel our nation's current debt crisis.

In the face of these sobering statistics, Atlanta's Consumer Credit Counseling Service has introduced a method for struggling consumers to get their feet back on sound financial ground. It's called a debt management plan, or a DMP for short. The DMP is a structured repayment plan that allows the consumer to make one single monthly payment into CCCS, which then distributes the funds to creditors, based on negotiated monthly payment requirements. Creditors who might be reluctant to negotiate directly with borrowers will often cooperate with a nonprofit agency like CCCS, hoping to get their borrower back on track.

Certified counselors at CCCS will ask creditors to accept minimum levels of payment and interest, and to forgo late fees and penalties during the term of the plan. In doing so, the creditor gains the benefit of retaining a customer and knowing that the borrower is likely to get caught up, rather than falling further behind.

The term of these plans varies based on the amount of the debt to be repaid and the income of the client, but usually runs between three and five years.

According to CCCS, consumers who are experiencing any of the following "trouble signs" might be among the ranks of those who could benefit from considering a debt management plan:

• Using credit cards to cover daily living expenses. With so many credit cards today pushing cash advances, there is a temptation to "charge" a little cash to cover current expenses. This is a classic warning you are living beyond your means.

• Making only minimum payments on credit cards, or struggling even to pay that much. Credit card minimums are designed to keep you paying interest almost forever. It's important to try to pay more than the minimum each month if possible.

• Carrying multiple credit cards and rotating their use to juggle balances and manage due dates. This is a delaying tactic designed to "buy time" at a high cost in interest expenses.

• Making payments late or missing payments for more than one month. This is a particular red flag in the mortgage industry, and will likely begin the process of pre-foreclosure collection procedures.

• Charging more each month on your credit cards than you are paying toward the balance.

• Credit cards that are at or close to their limit. Carrying a balance near your limit is seen as a dangerous sign by credit grantors, and will result in lowered credit scores almost at once.

• Receiving collection calls from creditors. Lenders today act more quickly to contact borrowers who have fallen behind. Their hope is that, by contacting you early, they can work with you to put the debt repayment back on schedule.

• Taking out loans or using equity in your home to pay off debt. While debt restructuring can sometimes be a solution to a credit crisis, the overall concept of paying off debt with more debt is a never-ending cycle.

• A final "trouble sign" would be becoming aware that an interruption in income would cause immediate difficulty paying bills. If you have already used up any emergency funds you might have had, it may be time to seek assistance now.

Home mortgage lenders are today taking unprecedented steps to work with borrowers to allow owners to keep their homes and afford their monthly payments. If you are facing a mounting debt load and you think a DMP might be the answer, you can reach Consumer Credit Counseling Service at 1-800-251-2227 or on the Web at cccsinc.org.