In what comes as no big surprise, the consolidation of the credit counseling industry continues. This time with a big announcement from two players whose merger will create the second largest credit counseling organization.
“CredAbility and ClearPoint Credit Counseling Solutions announced on Oct. 1 that they have agreed to merge their two organizations, effective December 31, 2013. The combination will create the second largest nonprofit credit counseling organization in the nation, with 50 offices in 15 states from California to Florida. Together, the two agencies counseled nearly 2 million financially distressed households during the past five years.
By combining the strengths of each agency, the new organization will be able to provide a broader range of services to consumers nationwide. For example, ClearPoint is one of the leading agencies that helps people repay their credit card debt through the establishment of debt management plans. CredAbility is one of the largest housing and bankruptcy counseling agencies. Both are also recognized leaders in financial education and literacy.
The newly-combined organization will go by ClearPoint Credit Counseling Solutions and will be headquartered in Atlanta. Chris Honenberger, CEO of ClearPoint, will remain CEO of the organization, while Phil Baldwin, CEO of CredAbility, will become president. The board of directors will consist of 30 directors, 15 from each organization.
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