Consumers overwhelmed by debt may find credit counseling and/or debt mediation services useful. A certified credit counselor can help you use credit wisely, establish a budget and arrange a repayment plan. Debt negotiators, also known as debt mediators or debt settlement companies, claim that they can reduce a consumer's debts. While some of these negotiators claim to be law firms, a lawyer may not handle your case.
The New York State Department of State Division of Consumer Protection's Credit Counseling and Debt Mediation Fact Sheet provides information about these services and warning signs of possible fraud.