Drowning In Debt Session ID: DD010 Date: Web Session Time: Web Session Location: Web Session

Description

The burden of consumer debt is a growing problem among students (and alumni) who have had access to credit before enrolling in a graduate or professional degree program. Students are enrolling with increasing levels of credit card and other consumer debt. As a result, many are finding it very difficult to manage the repayment of that debt while in school, and once they graduate. It also is affecting their ability to obtain privately-guaranteed educational loans. What can be done to assist these financially at-risk individuals?

The Consumer Credit Counseling Service (CCCS) is a network of 1300 offices around the country that can provide counseling on money management and credit management. This non-profit organization can be a valuable resource for these prospective and current students (and alumni) who are" drowning in debt." But how can you convince these individuals to seek the counseling they need, and to make the sacrifices necessary to improve their financial situation? Many individuals who have large consumer debts often feel that there is nothing they can do to get out from under the burden of their debt. They also may be embarrassed because they feel they have failed at managing their finances responsibly. Whatever the case, people who have debt that is beyond what they can manage easily, need to take action if the problem is to be solved.

The purpose of this interactive session is to share one person's odyssey in overcoming the burden of his credit card debt. Participants will learn about the services offered by the CCCS and hear the story of one client with a very large credit card burden. This information can be used to help reduce the anxieties of students about seeking help from the CCCS.

Learning Objectives

1. To understand how that the future is uncertain (I.e. there is risk) thus, you should be careful in your use of credit.
2. To realize that you have choices and those choices will have an impact on your financial future if they involve using credit.
3. To understand the financial tradeoffs in the choices you make.
4. To understand the cost and tradeoffs of "convenience".
5. To understand cash flow and resource allocation principles.
6. To be able to manage your existing debt at all times.
7. To understand how using CCCS services shows up on a credit report.
8. To understand the various options available to a person in financial debt.

Handouts

1. "Drowning in Debt….A Personal Odyssey" by Jeffrey Hanson, Director, Debt Management Services, Access Group, Inc.

2. "Credit Card ABC's" wallet size tip card provided by Access Group, Inc.

Videos

• Show Me The Money!
  This video "Strategies for Thriving in the Face of Debt", presents four strategies that can help you thrive in the face of debt and succeed in achieving your financial goals.
  Click here to watch video.