[November 12, 2008] Need for financial counseling exploding Tweet Nov 12, 2008 (The Daily Telegram - McClatchy-Tribune Information Services via COMTEX) -- The need for financial counseling has exploded in the past three years. "In 2004, as a service we met 3,000 families," said Dan Williams, program director for LSS Financial Counseling, a division of Lutheran Social Services of Minnesota. "This year, we will serve 18,000." With demand outpacing supply, partnerships like the one forged with Superior Community Credit Union can ensure members get fast help -- a three-day wait instead of a four to six week wait. For 22 years, LSS has served the state of Minnesota. Two years ago, they reached across state lines to provide a Superior-based counselor, Marsha Krivinchuk. The services provided are, for the most part, free. There are fees for reverse mortgage and bankruptcy counseling, Williams said, although about 30 percent of those fees are waived. Financial emergencies and the need for counseling have grown at the same time bad financial practices and easy credit were driving the nation to the edge of disaster. The $700 billion government bailout may have halted Wall Street's slide, but local residents continue to struggle with debt. Often, they sink into debt to deal with a job loss or medical emergency. "People will gravitate toward a solution," Williams said. "If they don't have a good solution, they will gravitate toward whatever solution is available." That includes payday loans and bad "cash out" mortgages. But not all of the financial counseling available is aimed at emergency situations. Like a hospital, the non-profit organization provides "financial wellness" visits as well. "The people we can help the most are people in financial trouble but they don't realize it yet," Williams said. There should be no stigma attached to seeking financial counseling, he said. It can offer solutions to those sinking in debt. For others, it can fine-tune their financial situation and answer questions about retirement and emergency savings. "We want to promote the ides of financial wellness," Williams said. "People coming in saying 'I think I can be doing better than I am now.'" For example, families can sign up for a credit report review to help understand what affect credit scores what can be done to increase scores. A family that has been carrying the same debt load for years, unable to pay it off, can find solutions through LSS' budget and debt counseling. LSS is dedicated to helping families reduce debt and build up savings. Even if there is a wait for services, an on-call counselor provides an immediate, brief financial coaching session. For more information, call LSS Financial Services at 529-2227 or toll free at (888) 529-2227. "We want people to get to the point of thriving," Williams said. To see more of The Daily Telegram, or to subscribe to the newspaper, go to http://www.superiorwi.com Copyright (c) 2008, The Daily Telegram, Superior, Wis. Distributed by McClatchy-Tribune Information Services. For reprints, email [email protected], call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA. [ Back To TMCnet.com's Homepage ]