Many Georgians will begin 2014 with a new year’s resolution to improve their finances. Some will scrimp and save to pay down debt, while others will try to build wealth and financial stability. While some will succeed at achieving these goals, others will fall short. What actions will determine who succeeds and who fails?
The keys to success are a combination of a strong will, a good action plan and help from a trusted and knowledgeable financial education partner. Finding a reliable, third-party mentor to help an individual stay on track can often make the difference between failure and success.
Despite the emerging economic recovery, many people still struggle financially. Metro Atlanta remains one of the country’s few urban centers with an unemployment rate over 7 percent. According to a recent Equifax report, credit card debt rose 1.3 percent to $10.6 billion in the third quarter of 2013. And despite an improving housing market, more than 51,000 foreclosure notices were filed in the 13-county metro Atlanta area last year.
A nonprofit credit counseling agency can be the financial lifeline to success. These organizations work with creditors to help individuals reduce the interest rates and monthly payments of their current obligations and to set up manageable debt repayment plans. For many people, this is a hopeful path out of crushing financial commitments, as it is not uncommon for individuals to be burdened with tens of thousands of dollars in unsecured debt.
It will be easier for Georgians to obtain help in 2014. Recently, Atlanta-based CredAbility merged with ClearPoint Credit Counseling Solutions of Richmond to form the second-largest nonprofit credit counseling agency in the nation. The new organization will take the ClearPoint name, but will continue to have its headquarters and a majority of its operations in Atlanta. Combined, our two agencies have helped consumers eliminate more than $1 billion in debt over the past five years.
In addition, ClearPoint will soon initiate a new financial education service that will help moderate-income families make the leap to financial stability. Since many families cannot afford to hire a financial professional to help them save to buy a home, fund their child’s college education or put away money for their retirement, ClearPoint will assist them. (Editor’s note: The price of the service has not been finalized, but it is supposed to be affordable for low- and moderate-income families).
The new year, and our merger, provides an opportunity for new and different solutions to immediate and long-term financial challenges. With ClearPoint’s commitment to provide quality financial education services to our community, I affirm today that ClearPoint will remain on the forefront of the important mission of supporting consumer health through financial education. We thank our community partners for their commitment to share in this mission and our community’s future.
Chris Honenberger is chief executive officer of Atlanta-based ClearPoint Credit Counseling Solutions.
