CredAbility merges with Virginia firm
The Atlanta credit counseling nonprofit CredAbility is merging with a Virginia nonprofit to create the second-largest such organization in the country.
The combined company will be known as ClearPoint Credit Counseling Solutions, using the name of the Virginia merger partner. ClearPoint CEO Chris Honenberger will be the top executive of the combined company, while the headquarters will be in Atlanta.
Though CredAbility does most of its counseling by phone or online, the merged nonprofit will have 50 offices in 15 states, enabling expanded in-person counseling. Employees who have focused on credit card debt counseling, ClearPoint’s specialty, or housing and foreclosure prevention, CredAbility’s specialty, will be cross-trained.
Phil Baldwin, CredAbility’s CEO, said he expects some layoffs in human resources and finance functions, but that they won’t be in Atlanta. As the economy has improved, CredAbility has laid off about half its staff, and now has 270 employees. The merged organization will have about 450.
The merger will allow the new ClearPoint more stability, Baldwin said, as it rolls out a CredAbility pilot program to provide financial advice and counseling to low- to middle-income people before they find themselves in financial distress.
“It’s a real opportunity nationally to help people before they get into trouble,” he said.
About the Author
Arielle Kass covers Gwinnett County for The Atlanta Journal-Constitution. She started at the paper in 2010, and has covered business and local government beats around metro Atlanta. Arielle is a graduate of Emory University.
