Alma Financial vs. Consolidated Credit: Which is Better?

If you have maxed out credit cards or too many loans and you’re finding it difficult to keep up with payments, you’re not alone. Fortunately, companies like Alma Financial and Consolidated Credit have educational resources and guided programs that can help you become debt-free.

When seeking debt relief, it’s important to do your research and work with a reliable company. In this guide, we’ll compare Alma Financial vs. Consolidated Credit based on the services they offer, their costs, their pros and cons, and more so you can make an informed decision.

What Is Alma Financial?

Alma Financial is a 501(c)(3) nonprofit organization that provides credit counseling, educational services, and programs to help borrowers resolve their debts. When you get in touch with the agency, a certified credit counselor will ask you questions to understand your financial situation and suggest the best solution.

Credit counselors at Alma Financial can help you make a budget and may suggest enrolling in a debt management plan (DMP). Once you enroll your debts in the program, your credit counselor will send payment proposal letters to your creditors. If they agree, you can make a single payment to Alma Financial, which will be proportionately distributed to your creditors.  

What Is Consolidated Credit?

Consolidated Credit is a nonprofit credit counseling agency that has been helping borrowers find relief from debt since 1993. The agency focuses on financial education and has certified credit counselors to help you make a budget and explore your options.

You’ll start by discussing your financial situation with a credit counselor to see which debt relief option will be the best for your financial needs, such as a debt consolidation loan, balance transfer credit cards, debt settlement, bankruptcy, or DMP. 

Once you enroll in a DMP, Consolidated Credit will work with your lenders to stop late fees and lower your annual percentage rate (APR). You’ll have a single, affordable payment each month, and you can be debt-free in as little as 36 months.

Pros and Cons of Alma Financial

Consider these pros and cons if you’re thinking about working with Alma Financial.

Pros 

• Your new monthly installment may be lower than your current debt payments
• Alma Financial may be able to stop late fees and lower interest charges
• Offers a variety of educational materials and programs

Cons 

• Not accredited by the Better Business Bureau (BBB)
• The website doesn’t have any information about program costs
• Not much information about the company is available online

Pros and Cons of Consolidated Credit 

Consolidated Credit is more well-known than Alma Financial. However, it does have its own drawbacks.

Pros 

• Multiple certifications and accreditations
• Excellent customer reviews
• A comprehensive collection of resources and tools on the website

Cons 

• No program guarantee
• Client support is only available on weekdays
• You’ll have to close the accounts enrolled in the program

Alma Financial vs. Consolidated Credit: Key Differences

While both of these are credit counseling agencies, there are a number of key differences between Alma Financial vs Consolidated Credit. Here are a few you should be aware of.

Services

Alma Financial offers credit counseling and debt management programs. It also offers financial education workshops and online resources.

Consolidated Credit also offers credit counseling and DMPs, but it also offers additional services, such as:

• First-time homebuyer counseling and courses
• Foreclosure prevention counseling
• Reverse mortgage counseling
• Rental counseling  

Consolidated Credit also has a larger collection of online resources, calculators, and tools than Alma Financial.

Fees and Costs

Alma Financial does not list its fees for enrolling in a DMP, and we were unable to find the information elsewhere online.

Consolidated Credit charges an average of $40 per month for its DMPs. The fees you’ll pay will depend on where you live but are capped at $79. The agency also waives fees for high-need individuals in some cases.

Eligibility Requirements

Alma Financial and Consolidated Credit do not clearly list the eligibility requirements for their DMPs online. However, most credit counseling agencies have their own guidelines to determine who qualifies. Here are a few things to know about qualifying for a DMP:

• You can only enroll unsecured debts like credit cards, medical bills, and personal loans
• Your credit score is not an important factor since credit counseling agencies don’t check your credit report to enroll you in a DMP.
• You must have enough income to afford your regular expenses and the monthly payment for a DMP.

Customer Reviews

Alma Financial is not BBB accredited. It has no reviews on the Better Business Bureau or on Trustpilot. The agency has 1.0/5 stars from 9 Google reviews.

All of the Google reviews have 1-star ratings, and one of the key reasons for the low ratings is difficulty getting in touch with anyone on the team. Consider this review:

“At first, when I started with Alma Financial's services, they were 5 stars, now I cannot give them any rating because it is impossible to communicate with them. At least try to answer our calls. ZERO STARS.”

In comparison, Consolidated Credit has excellent reviews and ratings. The agency is BBB-accredited and has an A+ rating. It also has 4.93/5 stars from 253 customer reviews (as of August 2024).

On Trustpilot, Consolidated Credit has 4.7/5 stars from 9,052 customer reviews (as of August 2024). 80% of these reviews have 5-star ratings. Most reviews talk about excellent customer service and satisfaction with the program results. Here’s one such review:

“I have been able to get out of nearly 40K debt in less than 36 months Thanks to consolidated working with my creditors and lowering interest rates!”

Alma Financial vs. Consolidated Credit: Which One Should You Choose?

If you have a lot of credit card debt, lines of credit, or other unsecured debts, enrolling in a debt management program may be a viable option. DMPs don’t involve taking out a new loan, so you can qualify even if you have bad credit. While Alma Financial and Consolidated Credit both offer this service, it’s important to compare the two options.

Consolidated Credit is widely known and has excellent reviews and helpful online resources. Alma Financial is not as well-known, and it’s difficult to find much information about the agency online. It isn’t BBB accredited, and judging from the few reviews it has on Google, its customer service is lacking. Considering these points, Consolidated Credit may be the better choice.