If you’re dealing with debt in Hawaii, you’re not alone. Many individuals and families are struggling with high credit card balances, student loans, and everyday living expenses. At APFSC, we offer non-profit debt relief and credit counseling services to help residents create a path toward long-term financial stability.
The Growing Debt Problem in Hawaii
Hawaii’s Financial Landscape
Despite its beauty, Hawaii remains one of the most expensive places to live in the U.S. As a result, many residents carry debt that grows harder to manage over time. The average credit card debt in Hawaii is over $8,700, a reflection of the high cost of basic necessities.
Student loan borrowers in the state face similar burdens. According to the Education Data Initiative, the average student loan debt in Hawaii is approximately $24,926, with around 45% of college graduates leaving school with outstanding loans. These debts, paired with rent, utilities, and everyday expenses, make it difficult for many households to stay ahead financially.
In addition to credit cards and loans, some families are affected by unpaid medical bills, job loss, or reduced hours. These factors contribute to mounting financial pressure—making the need for trusted debt relief solutions more urgent than ever.
How APFSC Helps You Rebuild
At APFSC, we don’t offer cookie-cutter solutions. We provide personalized, judgment-free support through a variety of services focused on financial recovery and empowerment.
When you connect with us, you’ll work with a certified counselor to analyze your income, expenses, and overall debt. From there, we create a custom Debt Management Plan (DMP) that simplifies your payments and helps you become debt-free faster.
Top Reasons Hawaii Residents Struggle with Debt
- Rising cost of living and limited wage growth
- High levels of student loan and credit card debt
- Lack of access to affordable housing
- Emergency expenses and medical bills
- Job instability or reduction in income
What Is a Debt Management Plan?
Our Debt Management Plan is a structured repayment solution designed to combine your unsecured debts into one manageable monthly payment. This program doesn’t involve taking out new loans—instead, it works with what you owe now and makes it easier to repay without falling further behind.
Here’s how it works:
- We negotiate with your creditors to lower interest rates
- You make a single, consolidated payment each month
- Late fees and penalties are often waived
- Collection calls and legal threats typically stop
- Your credit can improve over time as payments are made on schedule
Most plans last between three and five years, and the best part is, it’s fully customized to your financial situation. Many people see meaningful progress within the first few months of enrollment.
Talk to a HUD-certified housing counselor to get help with the housing challenges you’re facing.
Consumer Protection Laws in Hawaii
Hawaii residents benefit from state and federal laws that protect consumers from unfair and abusive debt collection tactics. For example, Hawaii enforces a statute of limitations that limits how long creditors can pursue legal action on certain debts. Wage garnishment rules also exist to cap the amount creditors can collect from your paycheck.
In addition, the Fair Debt Collection Practices Act (FDCPA) ensures that collectors must treat you with respect and cannot use harassment, deception, or threats to collect payment.
At APFSC, we walk you through these protections and help ensure your rights are never violated during your journey toward financial freedom.
Quick Financial Stats in Hawaii
Hawaii residents have several protections under both state and federal laws. Debt collectors must follow fair collection practices, and wage garnishment laws limit how much of your paycheck can be taken to repay certain debts. Understanding these protections can prevent unnecessary stress and help you advocate for yourself during tough financial times.
When you work with APFSC, we ensure you are aware of your rights every step of the way. If you’re receiving constant calls from collectors or worried about legal action, our counselors can help you take the right steps toward resolution.
Quick Stats About Debt in Hawaii
- Average credit card debt: $8,798
- Student loan debt average: $24,926
- Graduates with student debt: 45%
- Average credit score: 714
- Cost of living index: 193 (national average = 100)
See more insights on Hawaii’s credit card debt or get full student loan stats via the Education Data Initiative.
Why Hawaiians Trust APFSC
Our mission is simple: help people get out of debt and stay out. As a non-profit, we don’t sell financial products or earn commissions from creditors. Everything we do is rooted in helping you make real, lasting progress.
Whether you’re overwhelmed by credit cards or simply need a budget that works, our counselors will provide:
- Clear and practical guidance
- A realistic action plan you can follow
- Access to proven tools and education
- Support throughout your debt-free journey
Get Help from APFSC Today
If you’re feeling overwhelmed by debt, you’re not alone. APFSC has helped countless Hawaii residents take control of their finances. Contact us today for a free consultation and start your journey toward financial freedom.
Contact Us to learn more or speak with a certified credit counselor!
Case Studies
Approved agency for all major creditors including
Geographic Locations
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Credit Counseling and Debt Management in Hawaii | APFSC
Reviewed by an APFSC NACCC-Certified Credit Counselor · Last updated 2026-05-13
APFSC Hawaii · 900 Fort Street Mall Suite 1680 · Honolulu, HI 96813 · 1-800-682-4007
Free consultation · Nonprofit · DOJ-approved · No obligation
American Pacific Financial Services Corp (APFSC) is a 501(c)(3) nonprofit credit counseling agency serving Hawaii residents. We are approved by the U.S. Department of Justice under 11 U.S.C. § 1115, BSI-certified to ISO 9001:2015 (cert #0047884258), a BBB Accredited Business, and our credit counselors are NACCC-certified.7
Talk to a counselor about your Hawaii debt today
Call 1-800-682-4007 Monday–Friday, or book your free consultation online. The first session is free, there is no upsell, and a NACCC-certified counselor — not a salesperson — will review your income, expenses, and debts and tell you what actually works for your numbers under Hawaii law.
Quick links
- Why Hawaii residents call APFSC
- What a Debt Management Plan does for Hawaii residents
- Cost and timeline of a DMP
- Hawaii consumer-debt law you should know
- How to verify a credit counselor serving Hawaii
- APFSC at a glance
- Frequently asked questions
Why Hawaii residents call APFSC
Hawaii’s cost of living has run ahead of household income for most of the past decade. When a paycheck doesn’t stretch to cover rent, groceries, and a car payment, the gap typically closes with credit cards — and unsecured balances compound at APRs that now routinely exceed 22%. Average credit-card balance per borrower in Hawaii: {VERIFY: avg credit-card balance per borrower from myFICO state data}.1
Hawaii residents who call APFSC are typically carrying $5,000–$40,000 in unsecured debt — credit cards, medical bills, personal loans, collections — spread across three to five accounts. At minimum payments and current APRs, that profile takes 20 to 27 years to retire and costs more in interest than the original principal.6 A Debt Management Plan compresses that to 3 to 5 years with a single monthly payment.
We are nonprofit. We do not sell loans, debt-settlement services, or credit-repair gimmicks. The counseling session is free whether or not you ever enrol in a plan.
Counseling reaches every county in Hawaii — from Honolulu, Hilo, Kailua, Kaneohe, and Pearl City to smaller communities in between.
What a Debt Management Plan does for Hawaii residents
A Debt Management Plan (DMP) is a structured 36–60-month repayment program administered by APFSC on your behalf. It is not a loan — you are not borrowing money. It is not debt settlement — you repay the full principal. It is a coordinated repayment of your existing unsecured debts at concessions APFSC has pre-negotiated with most major creditors.6
What a DMP changes for a Hawaii resident
- One consolidated monthly payment to APFSC, drawn by ACH on a date you choose
- Lowered interest rates on enrolled accounts (often into single digits) under each creditor’s published DMP-acceptance policy
- Waived late and over-limit fees on enrolled accounts
- Collection calls stop on enrolled accounts as soon as creditors accept the proposal
- A predictable payoff date, usually 36–60 months from enrolment
Creditors APFSC works with
National card issuers — Chase, Citi, Capital One, Discover, Bank of America, Wells Fargo, Synchrony, U.S. Bank, American Express — all maintain standing DMP-acceptance programs that apply uniformly to your Hawaii accounts. Regional banks and credit unions operating in Hawaii typically also participate. Your counselor will tell you, account by account, what concessions each creditor offers.
Where a DMP is the right tool
- Total unsecured debt between roughly $5,000 and $100,000
- Steady monthly income, even if tight
- You can commit to a single payment in the $200–$900/month range
- You are willing to close the enrolled credit accounts (a DMP requirement)
- You want to repay the debt, not erase it
Where a DMP is not the right tool
We will tell you. The free counseling session ends with a written action plan — sometimes that plan recommends a consolidation loan, a referral to a Hawaii consumer attorney, or simply a tighter budget without enrolment. A nonprofit counselor’s job is to identify the cheapest path out, not to enrol you.2
For the side-by-side decision matrix, see DMP vs. Debt Consolidation Loan and Debt Relief Options Compared.
Cost and timeline of a DMP
What it costs
Reputable nonprofit DMP fees typically include a one-time set-up fee (commonly $0–$75) and a modest monthly administrative fee (commonly $25–$50), with totals capped well below what for-profit debt-settlement firms charge. Where Hawaii regulators (notably the Hawaii Division of Financial Institutions) impose additional caps or registration requirements on credit-counseling and debt-adjustment activity, APFSC operates within those limits. Your written disclosure will show every fee before you enrol.
APFSC fees are disclosed in writing before you enrol. There are no enrolment fees that exceed what Hawaii law permits, no “monthly maintenance” charges hidden off the disclosure, and no fees taken from your first payment before any creditor has received a dollar.
How long it takes
Most DMP clients complete their plan in 3 to 5 years. Two illustrative client outcomes (names changed, dollars rounded):
- $14,569 across 4 cards, 21-year minimum-payment payoff → 5-year DMP payoff. Monthly payment dropped from $380 to $288; total interest fell from $17,563 to $2,699; interest saved: $14,864.
- $28,776 across 5 cards, 26-year minimum-payment payoff → 5-year DMP payoff. Monthly payment dropped from $750 to $568; total interest fell from $35,322 to $5,331; interest saved: $29,991.
Your numbers will differ. The free counseling session produces a written projection specific to your accounts.
Hawaii consumer-debt law you should know
Knowing Hawaii law before you talk to a collector — or to any counselor — keeps you from giving up rights you actually have.
Statute of limitations on credit-card debt in Hawaii
The statute of limitations for collection lawsuits on credit-card debt and other written contracts in Hawaii is 6 years under Haw. Rev. Stat. § 657-1. The clock generally runs from the date of the last payment or the last written acknowledgment of the debt.
A debt past the statute is still owed — but it becomes harder for a creditor to enforce in court. Making a partial payment or written acknowledgment can restart the clock under Hawaii law. If you are being sued on an old account, consult a Hawaii consumer attorney before responding or paying anything.
Wage garnishment in Hawaii
Hawaii follows the federal wage-garnishment cap: a judgment creditor may garnish the lesser of 25% of weekly disposable earnings or the amount by which weekly disposable earnings exceed 30× the federal minimum wage. Public-benefit income (Social Security, SSI, unemployment, most veterans’ benefits) is generally exempt. A creditor must first sue, win, and obtain a judgment before any wage attachment is possible.
Who regulates credit counselors and debt-relief agencies in Hawaii
Credit-counseling and Debt Management Plan agencies operating with Hawaii consumers are regulated primarily by the Hawaii Division of Financial Institutions. Any agency that should appear in the Hawaii Division of Financial Institutions’s database — and doesn’t — should be treated as a red flag. The Hawaii Office of Consumer Protection is where consumer complaints against any agency, including APFSC, would surface; check it before you sign anything.
For federal bankruptcy-context only: the U.S. Trustee Program’s Chapter 7 means-test median income for a four-person household in Hawaii is approximately $142,181 (figure updated periodically by EOUST).5 We mention this purely because filers in some states qualify for Chapter 7 more easily than in others; bankruptcy is not a service APFSC offers.
How to verify a credit counselor serving Hawaii
Before you sign anything — with APFSC or anyone else — run these checks. They take fifteen minutes:
- DOJ-approved counseling agency list. justice.gov/ust/list-credit-counseling-agencies-approved-pursuant-11-usc-111.5 APFSC is listed for the federal district(s) covering Hawaii.
- Hawaii state regulator. Hawaii Division of Financial Institutions — confirm any state licence or registration that Hawaii requires of a debt-adjuster or DMP agency. If a counselor refuses to identify the Hawaii regulator they’re registered with, that’s a sign to walk.
- Hawaii Attorney General consumer complaints. Hawaii Office of Consumer Protection — search the agency’s exact legal name. Look at the pattern, not the existence, of complaints.
- IRS Tax Exempt Organization Search. apps.irs.gov/app/eos — verify the 501(c)(3) status.
- BBB and CFPB Consumer Complaint Database. A clean record at both is the floor, not the ceiling.
The longer playbook is in Is Nonprofit Credit Counseling Legitimate? and DOJ-Approved Credit Counseling Explained.
Federal credit-counseling law in plain English
Under 11 U.S.C. § 109(h), any individual filing personal bankruptcy must complete a credit counseling session with a DOJ-approved agency within 180 days before filing, and a financial-management course before discharge.5 APFSC is approved to provide both certificates. We are not a bankruptcy law firm and we do not file bankruptcies — if filing turns out to be the right tool for you, your counselor will refer you to a Hawaii consumer bankruptcy attorney. We do not earn anything from a bankruptcy referral. (Tax treatment of canceled debt is covered in IRS Publication 46813; bankruptcy-tax interaction in IRS Publication 9084.)
APFSC at a glance
| Credential | What it means | How to verify |
|---|---|---|
| DOJ-approved (11 U.S.C. § 111) | Authorised to provide pre-bankruptcy counseling and debtor education | DOJ approved-agency list |
| 501(c)(3) nonprofit | Tax-exempt, mission-driven | IRS Tax Exempt Organization Search |
| BSI ISO 9001:2015 #0047884258 | Quality-management system independently audited | BSI certificate directory |
| BBB Accredited Business | Adheres to BBB standards of marketplace trust | BBB profile |
| NACCC-certified counselors | Proctored exam + 16 CEU hours every two years | fcnonline.org |
Contact APFSC Hawaii
900 Fort Street Mall Suite 1680
Honolulu, HI 96813
1-800-682-4007 · Monday–Friday
Get directions · Book consultation
Counseling is delivered by phone and secure web. Walk-in counseling at the Honolulu address is by appointment only.
Frequently asked questions
Is credit counseling free for Hawaii residents?
The counseling session is free at APFSC. If you enrol in a Debt Management Plan, modest monthly administrative fees apply, capped by Hawaii regulation. Every fee is disclosed in writing before enrolment.
Will a DMP hurt my credit score?
Enrolling in a DMP does not, by itself, lower your FICO or VantageScore. What can affect your score: the closing of revolving accounts that a DMP requires, and any late payments already on file before you enrolled. Most clients see scores recover within 12–24 months of finishing. Detail: How a DMP Affects Your Credit Score.
Can a Hawaii creditor garnish my wages?
Yes, but only after a creditor has sued and obtained a judgment. Hawaii follows the federal cap (lesser of 25% of disposable earnings or the amount above 30× federal minimum wage), and Social Security / SSI / unemployment are exempt.
What is the statute of limitations on credit-card debt in Hawaii?
6 years from the date of last payment or written acknowledgment, under Haw. Rev. Stat. § 657-1. After that, the creditor’s right to sue is generally extinguished — but the debt remains legally owed and can affect credit reports.
Should I take a debt-consolidation loan instead of a DMP?
Sometimes. A consolidation loan is cheaper if you qualify for a single-digit APR and you have already fixed the spending that created the debt. If your credit is bruised or you are still using cards to cover the gap, the loan typically makes things worse. Full comparison: DMP vs. Debt Consolidation Loan.
What if bankruptcy is the right answer for me?
We’ll tell you, and refer you to a Hawaii consumer bankruptcy attorney. Federal law requires credit counseling with a DOJ-approved agency in the 180 days before filing, and APFSC issues that certificate. We do not file bankruptcies.
Are debt settlement and debt management the same thing?
No — and this is the single most common confusion. Debt settlement means paying less than you owe, typically with a for-profit company, with major credit and tax consequences (canceled debt can be taxable income, see IRS Publication 46813). Debt management means repaying the full principal at reduced interest, through a nonprofit. APFSC offers debt management, not settlement.6
What happens if my income drops mid-plan?
DMPs are restructurable. If income falls, your counselor can renegotiate the monthly amount with creditors, extend the timeline, or in some cases pause the plan. The worst move is silence — call us, not the creditors, first.
Does Hawaii require credit-counseling agencies to be specifically licensed?
Some states (including California, New York, and Massachusetts) require an additional state license or registration to administer Debt Management Plans for residents. Others rely primarily on the federal DOJ-approved roster and on the agency’s nonprofit/501(c)(3) status. APFSC operates in Hawaii consistent with applicable Hawaii requirements and is on the DOJ-approved list under 11 U.S.C. § 111.5
Ready to talk to a counselor about your Hawaii debt?
A free APFSC counseling session is the lowest-risk move a Hawaii resident carrying unsecured debt can make this month. We will tell you what works for your numbers — even if the answer is not a DMP.
Book your free consultation →
or call 1-800-682-4007, Monday–Friday.
APFSC · serving Hawaii · 900 Fort Street Mall Suite 1680, Honolulu, HI 96813
DOJ-approved · 501(c)(3) nonprofit · BSI ISO 9001:2015 #0047884258 · BBB Accredited · Counselors NACCC-certified · Serving all Hawaii residents · No upsell · No obligation
Related reading
- [[link: pillar-01-credit-counseling-guide]]
- [[link: pillar-02-debt-relief-options-compared]]
- [[link: draft-01-dmp-vs-consolidation]]
- [[link: draft-02-nonprofit-credit-counseling-legit]]
- [[link: draft-03-dmp-credit-score-impact]]
- [[link: draft-04-doj-approved-credit-counseling]]
Footnotes
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-
myFICO, “Average credit-card debt and APR by state,” accessed 2026. https://www.myfico.com/credit-education/blog ↩
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Federal Trade Commission, “Coping with Debt.” https://consumer.ftc.gov/articles/coping-debt ↩
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IRS Publication 4681, “Canceled Debts, Foreclosures, Repossessions, and Abandonments.” https://www.irs.gov/pub/irs-pdf/p4681.pdf ↩↩
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IRS Publication 908, “Bankruptcy Tax Guide.” https://www.irs.gov/pub/irs-pdf/p908.pdf ↩
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U.S. Department of Justice, U.S. Trustee Program — Approved Credit Counseling Agencies (11 U.S.C. § 111). https://www.justice.gov/ust/list-credit-counseling-agencies-approved-pursuant-11-usc-111 ↩↩↩↩↩
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Consumer Financial Protection Bureau, “What is a debt relief program and how do I know if I should use one?” https://www.consumerfinance.gov/ask-cfpb/what-is-a-debt-relief-program-and-how-do-i-know-if-i-should-use-one-en-1457/ ↩↩↩
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National Association of Certified Credit Counselors. https://fcnonline.org/ ↩