Debt consolidation occurs when a debtor has several loans from different lenders and wishes to take out a large loan to pay off all of the others. This allows the debtor to simplify its loan payments, and to negotiate just one interest rate instead of varying rates. A debt consolidator is a professional who works for a company or organization providing services to debtors who wish to consolidate their loans. In order to become a debt consolidator, it can be helpful to first determine which kind of work within the industry you would like to pursue. Once this is determined, you can make sure that you get the proper experience or education.
While there are many different kinds of positions within this industry, an individual who wants to become a debt consolidator can expect to find him or herself either reaching out to and communicating with debtors or performing financial duties related to credit counseling and even legal services. Professionals who end up communicating with debtors may be responsible for making phone calls to clients, bringing in new clients, and communicating information regarding a debt. Those who concentrate on the financial side of the business tend to focus on credit counseling and referring clients to other agencies that can provide different financial services.
In most jurisdictions, here are no degrees or certifications necessary in order to become a debt consolidator. For those who are interested in communicating with debtors and potential clients, a talent for dealing with people and clearly communicating important, detailed information can be very helpful. Those who are interested in working on the financial end of debt consolidation may often have degrees or training related to personal finance.
Most individuals who are successful in securing positions in the debt consolidation industry have experience in relevant fields. The field can be a good fit for individuals who have experience as salespeople, such as telemarketers. They may also have experience in data entry since they are often responsible for updating debtor information regarding payments and changes in payment schedule and rates.
A person who wants to become a debt consolidator is often likely to have experience advising individuals how to make the best personal finance and borrowing decisions. These professionals tend to have a thorough understanding of credit and debt and can help individuals to create personal forecasts regarding future income and amounts that they are able to pay. An understanding of legal systems as they relate to credit and debt can also be helpful for these kinds of professionals.
