by 
The Curious Bag
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<h4 class="dechead">On One Hand: Education Helps
Through the use of credit counseling, a borrower can learn proper debt management, pay off existing debt, and get in control of her finances. It can help a borrower to create new and better financial habits, therefore becoming an effective financial manager and resource. It helps a borrower get back on track and remove negative items from his credit report.
On the Other: Old Habits Die Hard
Although credit counseling helps borrowers reduce their debts and budgets, the effect is usually short term. Many borrowers use the program only during credit counseling and then fall back into the same old traps once they are debt-free. Long-term solutions are needed to truly solve the problem of cyclical debt.
Bottom Line
Even if it only works in the short term, there is a real possibility that credit counseling can positively affect a borrower's financial future. Even if the person simply uses the tricks to limit future debt, every little bit will help to reduce her overall debt issues. Through the proper use of the program, it can be a somewhat effective tool in financial planning.
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