Where to find credit counseling in the Twin Cities
People in the Minneapolis–Saint Paul area often face different kinds of financial problems. Some owe more on credit cards than they can pay down. Some are stuck with payday or title loans that carry very high interest. Others have missed a mortgage payment or two. Nonprofit counselors and lenders in Minneapolis and St. Paul can help with each of these, often for free.
This page sorts the help by the problem you are facing. Every group listed is a nonprofit, not a for-profit debt settlement company. Pick the section that matches your situation to see what each one offers and how to reach them. Advice on avoiding debt relief scams is on this page as well.
Credit card debt and collection calls - local agencies
For credit card balances and old debts in collections, a nonprofit credit counselor is usually the place to begin. The counselor reviews your budget and credit report for free and explains your choices. One choice is a debt management plan, where you make a single monthly payment to the agency and it pays your creditors. Many creditors lower your interest and drop fees once you are on the plan, so you pay off the balances faster. Two long-running agencies serve the Twin Cities.
LSS Financial Counseling
Lutheran Social Service of Minnesota runs this service, a member of the National Foundation for Credit Counseling. Its counselors help with budgeting, credit report reviews, debt management plans, student loan repayment, and counseling for people dealing with collectors. As an agency approved by the federal housing department, it also gives housing and foreclosure advice. You can meet a counselor in person at offices that include Minneapolis and St. Louis Park, or get help by phone or online across the state. Counseling is free, and counselors are available in Spanish and Hmong. Visit https://financialcounseling.lssmn.org/ or call (888) 577-2227.
FamilyMeans Consumer Credit Counseling Service
FamilyMeans, based in Stillwater, has counseled families since the 1960s and serves the Twin Cities, the St. Croix Valley, and Rochester. Its Financial Solutions team builds budgets with you, sets up debt management plans, reviews your credit, and runs financial classes. It also offers the counseling the court requires before and after bankruptcy, which not every agency does. Reach the appointment desk at (651) 789-4014 or (800) 780-2890, or visit https://familymeans.org.
Payday, pawn, and title loans
Exodus Lending
Payday loans, pawn shop loans, car title loans, and online installment loans carry interest so high that many borrowers cannot pay them off and keep renewing them. Exodus Lending, a Minnesota nonprofit, pays off that kind of loan for you and lets you repay the same amount over about a year with no interest and no fees. It serves people across Minnesota, and its staff can also give basic financial counseling. The office is at 2550 University Ave W, Suite 200N, in St. Paul. Apply at https://exoduslending.org/ or call (612) 615-0067.
If you have missed mortgage payments
Homeowners in the Twin Cities who are behind on a mortgage can get free foreclosure counseling from an agency approved by the federal housing department. LSS Financial Counseling, listed above, is one option and can work with you and your mortgage company on ways to keep the home. To compare counselors, use the federal housing locator at https://answers.hud.gov/housingcounseling/s/. People getting ready to buy a first home can take free classes and meet a counselor through Community Action Partnership of Hennepin County, listed further on.
Help by phone - organizations that serve the Twin Cities remotely
If you would rather call two national nonprofits cover Minnesota. Both are well known and free to talk to.
GreenPath Financial Wellness
GreenPath is one of the older nonprofit counseling agencies in the country. If credit card debt is the issue, its counselors may work with your creditors to lower interest, combine your bills into one monthly payment, and stop the collection calls. GreenPath also offers home-buying and reverse mortgage counseling and a set of free online money courses. Reach it at (800) 550-1961 or https://www.greenpath.com/.
Money Management International
MMI offers free credit counseling and, for people who cannot manage a standard repayment plan, a nonprofit version of debt settlement that costs less than for-profit options. It also provides foreclosure counseling, help for renters, and financial education, and its phone line is open at all hours. Reach it at (866) 889-9347 or https://www.moneymanagement.org/.
Free budgeting and home-buying classes
Community Action Partnership of Hennepin County
Once known as CAPSH, this community action agency offers free workshops on building a budget, managing credit, and saving money. It also runs home-buying classes and free counseling for people preparing to buy, along with help paying energy, water, and rent bills. It does not run debt management plans, but it is a free way to learn how to budget and prepare for a home purchase. Visit caphennepin.org or call (952) 933-9639. The agency offers many other programs as well - see the NHPB guide to Community Action Partnership of Hennepin County.
How to tell a real nonprofit from a debt settlement scam
Many companies advertise quick debt relief, and some are scams, so look closely before you sign anything or share your bank details. A real nonprofit counselor reviews your whole budget first and is clear about any fees. Be careful with any company that wants a large fee before it does the work, claims it can settle your debt for a small part of what you owe, or guarantees a set jump in your score. If a company tells you to stop paying your creditors, treat that as a serious warning sign, because it can lead to lawsuits and a worse credit record.
For-profit debt settlement is not the same as nonprofit credit counseling. Settlement firms often charge high fees and hold your payments for months while your credit drops. Credit repair firms cannot remove correct items from your report or do anything you cannot do on your own for free. Confirm that any agency belongs to the National Foundation for Credit Counseling at nfcc.org, and check it with the Minnesota Department of Commerce, which licenses debt settlement and debt management companies in the state. The Consumer Financial Protection Bureau explains the difference at consumerfinance.gov, and the U.S. Trustee Program lists approved agencies for bankruptcy counseling at justice.gov/us
Related Content From Needhelppayingbills.com
|
Need help navigating programs?