It’s a fact: 73 percent of all adults don’t have a financial goal.

Monday, September 18, 2000

It’s a fact: 73 percent of all adults don’t have a financial goal.

Sixty-one percent of adults don’t have a spending plan.

Forty percent of the American middle class spends more than they make.

The average American has four credit cards with a total balance of $4,800.

Most families are unprepared to handle an unexpected expense of $1,000.

Eighty percent of divorce cases cite money issues as a factor.

Is it any wonder, Consumer Credit Counseling Service exists? CCCS now offers its services in Austin each Tuesday.

J. Michael Taylor, financial counselor, holds office hours at the Hormel Employees Credit Union.

Now 8 years old, CCCS is a division of Family Service Rochester. Denise Fogerty is the CCCS program manager.

"Our certified financial counselors will help examine ways to solve current financial problems and prevent future difficulties," Fogerty said. "In a confidential session, our counselors will review a financial situation and suggest possible solutions. In most instances, we can help develop a spending plant to cover both living expenses and payments to creditors."

Fogerty and Taylor say there are obvious warning signs that debt problems exist. They include frequently paying bills late, required monthly debt payments totaling 20 percent or more of take-home income, using savings or credit to pay daily expenses and using cash advances from credit cards to pay other debts or daily expenses.

"We serve people who range in age from 17 years old to those who are collecting Social Security and pensions," Fogerty said. "There’s a wide income range from just a Social Security check each month to a six-figure income."

Typically, clients are referred to CCCS from creditors, banks and other financial institutions. Also, consumers with debt problems walk in.

Taylor will begin an in-depth process that could be as simple as money management education or as practical as the CCCS’ popular Debt Solver Program.

"The Debt Solver Program is a systematic way to pay down your debt," Taylor said, "We can help you determine how much money is available for credit payments after paying your monthly living expenses."

Clients agree to deposit funds with CCCS each month and CCCS sends the funds to creditors to pay bills.

According to Fogerty, an evaluation of the CCCS services reveals a high – 95 percent – rate of satisfaction with all services, while 65 percent of those who partake of the Debt Solver Program pay off their debts.

Also, Taylor and other CCCS financial counselors can help consumers correct or improve their credit ratings.

There is a fee for the CCCS services depending on what level of services is required. Also, only consumer debt problems can be addressed by the agency.

Taylor will offer his financial counseling services to Riverland Community College students to help them deal with existing debt problems and those to come, when paying back student loans is a challenge.

For more information about Consumer Credit Counseling Service, call Taylor at (507) 281-6299 or (800) 936-4054.