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Debt Counselors Of America - What Happened to Debt Counselors of America?

credit help rhode myvesta

In the 1990’s, personal debt became a huge problem in the United States. This is due to the new predatory practices of credit card companies extending new credit to those who previously were unqualified and telling them that not only was a new credit card fun and exciting, but it was also a necessity of life that would be foolish to pass up. When these practices combined were combined with a lack of education about how to properly use a credit card, many people soon found themselves swamped in debt with no apparent solution short of bankruptcy.

If you remember when independent debt counseling agencies first gained national attention, you may also remember Debt Counselors of America, the most popular of these organizations. Unfortunately, the debt problem in the U.S. has still comes and goes in waves. New regulations and a push toward education relieve the problem for awhile, but soon the lenders find the loopholes in the regulations and the public forgets their education. A new round of regulation and training pushes down the cycle again.

You may have been lucky or simply financially stable since the 1990s, but the new economic recession has pushed a whole new group of people into debt that was relying on credit to get them through the tough times. For many, the tough times lasted longer than expected and they now find themselves in need of help in paying down the debt that the lenders are asking to be paid back. If you are in this group, you may remember Debt Counselors of America but are having a difficult time locating them. The reason for this is that Debt Counselors of America no longer exists, but the company goes on in a much different form.

Being one of those who found themselves in trouble with debt in the early 1990s, Steve Rhode decided to do something about it. He founded the non-profit group Debt Counselors of America in 1994 to help others. The company was popularized by Rhode’s syndicated radio show MoneyHelp and soon it grew from 2 employees to 70. Debt counselors of America soon changed their name to Myvesta. Myvesta offered debt relief packages to the public that helped many people out of their troubled financial situations. Others did not fare so well with Myvesta’s programs and filed complaints against the company for fraudulent practices.

In 2003, Steve Rhode closed down Myvesta and separated himself from the company citing that the creditors have taken control of the public debt and credit counseling agencies had little real power left to deal with the problem. After that, Rhode founded the Myvesta Foundation, helping European and African groups form debt counseling agencies for their own communities. Today, Steve Rhode stile helps foreign entrepreneurs by providing micro-loans through Kiva. He also runs a completely free website for those seeking help with their debt called getoutofdebt.org.

Getoutofdebt.org does not offer formal debt counseling services like those of its predecessor, Debt Counselors of America. Instead, the website helps people help themselves. It provides articles on debt and debt relief, and gives advice about the best way to find help in getting out of debt. Besides the updated news on the debt industry, one of the most popular features of the website is the Q&A, where Rhode answers legitimate and pertinent questions sent in by readers. Although Debt Counselors of America can no longer help you directly, its founder can still point you in the right direction and give you advice on what steps to take.

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