Almost every business carries some form of debt, but credit card debt management is of special interest. Credit card debt can damage the fiscal fitness of a company, if left unchecked. Therefore, it's important that you understand how the business credit card debt management industry operates. Many times debt management companies that don't have your best interests at heart will try to use this credit card debt as an opportunity for unfair business practices.

A company that knows how the credit card debt management industry works will learn how to navigate around the perils that befall others. Keeping up with the latest industry trends and new regulations can help your business make the proper credit card debt management decisions. Therefore, before you hire credit card debt consultants or seek another resolution, here are a few items to consider:

1. Use business debt management services to monitor your credit rating.

2. Consult with debt management services associations to learn industry news.

3. Contact the regulatory agencies for a credit card debt management industry overview.

Action Steps
The best contacts and resources to help you get it done

Register with debt management services industry leaders

To keep from having to enter credit card debt negotiation anytime soon, you should employ the services of a credit monitoring company. That way you can see any changes in your business credit rating and fix it before it limits your ability to attain lines of credit.

I recommend: Utilize the BuzGate business credit monitoring services from Dun & Bradstreet. Then, compare the pricing of the monitoring services of Experian Information Solutions to the aforementioned company.

Speak to credit card debt management services associations

Because these associations want to protect the reputation of the debt management industry, you can contact them to find information on particular debt management companies. They also offer industry information updates through email or their websites.

I recommend: Visit the American Association of Debt Management Organizations for credit counseling and debt management industry updates. Contact the International Association of Professional Debt Arbitrators for the latest credit card debt management solutions company information.

Monitor the commissions, which regulate the credit card debt management industry

The latest credit card debt management service industry regulations are an important aspect of your business credit rights. If you can understand the regulations for the industry, it will be more difficult for nefarious companies to take advantage of your business.

I recommend: Check the Federal Trade Commission website for updates on industry regulations. Use the American Financial Services Association buyer's guide to verify the credentials of any debt management company.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  The best way to find out information on any business service industry is talk to people you know and trust. You may know a business owner or employee that has been through business credit card consolidation or a similar form of credit card debt management.

A credit card can be a useful tool, but too often balances pile up and interest rates ratchet higher than you bargained for. Credit card debt management is not rocket science: It’s a simple plan to eliminate credit card debt without having to declare bankruptcy in the process.

Credit counseling can be part of the solution, and in some instances, paying for a debt management plan can make sense. Unfortunately, desperation is a pretty lucrative business. If your bills are getting out of hand, you could be an easy target for a credit card debt management scamster.

In this guide to credit card debt management, you’ll learn:

1. How to do it yourself using online credit card debt management tools.
2. The difference between credit counseling and debt management plans.
3. Legitimate avenues to debt consolidation to eliminate credit card debt.
4. Avoiding credit card debt management scams.

Action Steps
The best contacts and resources to help you get it done

Do it yourself credit card debt management

Impossible, you say? Not so. The first step is to admit you have problem and act: Cut up your credit cards, shred them and decouple the account numbers from any automated online buying sites, like Amazon.com. Then sit down, create a budget, and figure out where the payoff money is coming from to eliminate credit card debt.

I recommend: Debt management starts with spending management tools, such as the 'instant budget' page at CNNMoney, which allows you to compare your spending against national averages, adjusted for income. Mvelopes hooks to your online bank account and automatically tracks spending. Quicken has long been the gold standard for personal budget planning.

No discipline? Get credit counseling

Part of the reason people get into financial trouble is because they don't have the power over their own purse in the first place. Credit counseling can help, and there are plenty of financial planners and non-profit credit counseling experts who make it their business to teach financial basics like credit card debt management. Debt management plans, which require regular payments and are not free, should be considered as a last resort.

I recommend: Find a certified financial planner through the Financial Planning Association web site. The National Foundation for Credit Counseling's DebtAdvice.org can help locate a local credit counselor, as can the Association of Independent Credit Counseling Agencies. The Federal Trade Commission has a good checklist when considering a debt management plan.

Good credit means debt consolidation could be the way

There is no reason to pay a credit counseling service to help you secure a debt consolidation loan to eliminate credit card debt. If you have a good credit record and especially if you own your home, a debt consolidation loan from your own bank is no harder than borrowing for a new car or vacation.

I recommend: Compare lenders and rates for a debt consolidation loan at LendingTree or E-Loan first. Bankrate has a debt pay-down advisor than can help you decide whether a loan or just paying more each month makes the most sense.

Watch out for credit card debt management scams

One of the toughest situations for people who have issues with credit card debt management is making the right choices. This can be harder still when there are so many websites promising debt management but with tons of fine print and fees. Learn to be a better consumer: Any crazy offer to cut or reduce your debt without pain is highly unlikely to be true.

I recommend: Check out any debt management or 'credit repair' offer with the Better Business Bureau first. Under new federal bankruptcy rules, too, you have to get six months of credit counseling for an approved agency first. See the U.S. Department of Justice for a state-by-state list of approved credit counseling providers.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Take any specific numbers on a website (slash your debt 80%!!) with a huge grain of salt. Debt management is not miracle working.
• •  If you decide to eliminate credit card debt with a new, lower-interest loan, cut up those credit cards quick or you'll end up worse off in short order.
• •  When credit card debt management requires you to limit your spending, it can become frustrating. Keep yourself motivated by including a few small rewards in your budget for hitting specific debt reduction goals.

The most convenient way for your employees to charge business expenses is through business credit card debt. However, if you can effectively implement credit card debt management basics, it doesn't have to become a burden to the business. So many business credit cards use offers of 0% interest and other sweeteners that make it enticing to carry a balance while you have other pressing fiscal issues. Many businesses fall into this trap.

If your company finds itself in the midst of too much credit card debt, there are options such as credit card debt negotiation or hiring credit card debt consultants. Getting out from under this debt requires a solid commitment from every employee to control credit spending. To help your company understand credit card debt management basics, here a few items to consider:

1. Know the differences between credit card debt management consolidation and settlement.

2. Keep up with the current laws regarding credit card debt management.

3. Evaluate the various business debt management services and tools available.

Action Steps
The best contacts and resources to help you get it done

Contrast the various methods of credit card debt management

Each tool that your business can use to manage its credit card debt has its pros and cons. The best option for you will depend on how much debt you have and the amount of cash on hand. That is why you need to look into each option and compare the debt management outcomes.

I recommend: Check the terms for the Small Business Association consolidation program at Wells Fargo. Contact the credit card debt management solutions counselors at Commercial Debt Counseling to help manage your debt. Examine the tutorial available at EvanCarmichael.com, which compares debt consolidation, management and settlement.

Examine the credit card debt management service options available

Beside the usual counseling service, there are software applications and services that will keep your company out of credit card debt. This proactive measure of tracking and managing your credit card debt before it becomes a problem is imperative for any business and helps you understand the basics of credit card debt management further.

I recommend: Use the credit card debt software available FileBuzz Download Center. The applications available at this site range from free to minimal charge for a download. Speak to a debt prevention service, such as Brossmoney.

Recognize the credit rating impact of credit card debt management solutions

What most businesses don't take into account when hiring a debt management service is the affect it will have on the corporate credit rating. This rating not only affects your ability to get loans, but it also affects how other companies view your business.

I recommend: Call Equifax's commercial information solutions to learn about its business credit rating services and ask about the impact of each type of credit card debt management on your business. Use the credit managment service from TransUnion to determine how debt management impacts your intra-business credit ranking.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Business debt management services are not all created equal. Before you use any service, be sure to check with the Better Business Bureau to verify the credibility of the company.

For a business, credit card debt management may mean finding a way to restructure debt so that it is more affordable to pay down. Businesses that are considering bankruptcy are often better off turning to other methods of reducing debt obligations. Business bankruptcy laws have made it more difficult for a business to get out of debt easily. For this reason, businesses should understand a few debt management terms such as debt consolidation loan, commercial debt counseling and debt reduction.

Action Steps
The best contacts and resources to help you get it done

Debt consolidation loan

Debt consolidation loans may be a debt management option for some businesses. These loans are often based on assets owned by the business, such as real estate or equipment. The equity in these assets may be used to pay off credit card debt.

I recommend: Key Settlement Solutions provides more information about debt consolidation loan options.

Commercial debt counseling

Commercial debt counseling services aid businesses in restructuring their debts to make them more affordable to pay. It is similar to consumer credit counseling.

I recommend: Commercial Debt Counseling provides these services and explains what they are.

Debt reduction

Debt reduction is a type of credit card debt management, allowing a business to avoid bankruptcy. It is a process that allows the business to reduce how much debt obligation it has through the aid of a professional services provider.

I recommend: American Finasco Professionals provide debt reduction services and more information about using them.

Debt restructuring

Debt restructuring is the process of reducing or changing the debt repayment method. A business that is struggling to make payments on its debts may consider restructuring the debt through a negotiation process with the lender. This can help the business avoid bankruptcy.

I recommend: Business Capital points out how debt restructuring works and why it is beneficial.

Invoice factoring

Invoice factoring can be a method of managing credit card debt. A business borrows funds based on the invoice value they have sent to their accounts receivable customers. A third party lends the business up to 80% of the value of the invoices to meet accounts payable demands until invoices come in.

I recommend: Business to Business Capital provides more information on invoice factoring.

Business debt management

Business debt management refers to a number of services available to business owners that enable them to get out of debt. Debt management options may include settling the debt for less than is owed or restricting the debt.

I recommend: AmerAssist Turnaround Management provides more information on its website.