I think I'm in the middle of a credit crisis — help!

Recipe: 1 Know what a financial crisis is. 2 Know the signs of having too much debt. 3 Summarize your debt. 4 Make a debt reduction plan. 5 Modify your spending plan. 6 Know how to choose a credit counseling agency. 7 Know what debt reduction businesses are all about. 8 Put your plans to work.

INGREDIENTS FOR SUCCESS: • Optimism, patience, and persistence. • A notebook for tracking phone conversations with lenders. • A debt reduction plan. • An updated spending plan. • Sixteen Things You Can Do to Improve Your Credit • Support and encouragement from friends, family and mentors.

The dark cloud of debt is hanging over you. You think you’re in a credit crisis and you don’t know what to do. This can be a scary place. Talking about it, even to loved ones, might be really hard to do.

Job loss is the number one cause of a credit crisis.

The job market is changing quickly. Since countries around the globe can produce goods more cheaply than the United States can, a lot of good paying manufacturing jobs have left the country. Service jobs are on the rise, but many pay minimum wage and barely support a family's needs.

Other circumstances can trigger a credit crisis as well. For example, hurricanes Rita and Katrina caused hardships—some beyond one’s ability to cope with the stresses and challenges that natural disaster brings.

Pause a moment and breathe deeply. Following the recommendations and guidelines in this Web site will help you improve your financial situation over time. It may even get better than it has ever has been.

If possible, work with a mentor or your Habitat advisor through this section. There is a lot of information to absorb here, and a lot of work to do. With guidance, you can stay on course when hardships come.