Need help right now? Call a HUD-approved counselor at 1-800-569-4287 (free, confidential).

Why Alabama Residents Need Help

Alabama shows mixed signals — auto loan delinquency at 6.55% and mortgage delinquency at 1.15% stand out above national averages. With $49K in debt per capita, the 24 verified organizations below can help residents navigate these financial pressures.

Alabama's State Distress Index score is 58.8 (Elevated), ranking #9 of 51 jurisdictions.

18 of Alabama's 23 HUD-approved housing counselors offer foreclosure and default counseling. 7 agencies serve in Spanish, with 2 non-English languages available across all agencies. 1 offers reverse mortgage counseling.

1 of Alabama's 1 LSC-funded legal aid organization is also HUD-approved, meaning it can provide both legal representation and housing counseling.

Housing Counselors (23)

HUD-approved agencies providing free foreclosure prevention counseling, mortgage assistance, and financial guidance.

BIRMINGHAM URBAN LEAGUE, INC.

Birmingham — 1229 3rd Ave N 205-326-0162
Default/Foreclosure CounselingFinancial/Budget CounselingFinancial/Budget WorkshopHomeless/Displacement Counseling +5 more

CCCS OF MOBILE

Mobile — 705 Oak Circle Dr E 251-602-0011
Default/Foreclosure CounselingFinancial/Budget CounselingNon-Delinquency Post-Purchase WorkshopPre-Lease/Pre-Purchase Workshop +3 more
Mobile — 602 Bel Air Blvd 251-479-1532
Default/Foreclosure CounselingFinancial/Budget CounselingFair Housing Pre-Purchase Education WorkshopNon-Delinquency Post-Purchase Workshop +3 more
Tuscaloosa — 2201 University Blvd 205-248-5080
Financial/Budget CounselingFinancial/Budget WorkshopFair Housing Pre-Purchase Education WorkshopHomeless/Displacement Counseling +5 more

COMMUNITY ACTION AGENCY OF NORTHEAST ALABAMA, INC.

Rainsville — 1481 McCurdy Ave S 256-638-4430
Default/Foreclosure CounselingFinancial/Budget CounselingFinancial/Budget WorkshopHomeless/Displacement Counseling +1 more
SHEFFIELD — 505 N Columbia Avenue 256-383-3832
Default/Foreclosure CounselingFinancial/Budget CounselingNon-Delinquency Post-Purchase WorkshopPre-Lease/Pre-Purchase Workshop +3 more
Russellville — 13150 Highway 43 Ste 4 256-332-7534
Default/Foreclosure CounselingFinancial/Budget CounselingNon-Delinquency Post-Purchase WorkshopPre-Lease/Pre-Purchase Workshop +3 more
Florence — 745 Thompson St 256-766-4330
Default/Foreclosure CounselingFinancial/Budget CounselingFair Housing Pre-Purchase Education WorkshopHomeless/Displacement Counseling +4 more
Decatur — 1909 Central Pkwy SW 256-355-7843
Default/Foreclosure CounselingFinancial/Budget CounselingFinancial/Budget WorkshopHome Improvement/Rehab Counseling +4 more
CULLMAN — 107 2nd Ave, NE 256-260-3108
Rental Housing Counseling
Languages: English, Spanish
MOULTON — 12529 AL Hwy 157 256-260-3108
Rental Housing Counseling
Languages: English, Spanish
Huntsville — 3516 Stringfield Rd NW 256-851-9800
Default/Foreclosure CounselingResolving/Preventing Mortgage Delinquency WorkshopFinancial/Budget CounselingFinancial/Budget Workshop +4 more
Tuscaloosa — 601 Black Bears Way 205-469-0397
Default/Foreclosure CounselingResolving/Preventing Mortgage Delinquency WorkshopFinancial/Budget CounselingFinancial/Budget Workshop +6 more
Languages: English, Spanish
Huntsville — 520 Madison St SE 256-551-1610
Default/Foreclosure CounselingResolving/Preventing Mortgage Delinquency WorkshopFinancial/Budget CounselingFinancial/Budget Workshop +5 more
Birmingham — 117 Southcrest Dr 205-942-5505
Default/Foreclosure CounselingFinancial/Budget CounselingFinancial/Budget WorkshopFair Housing Pre-Purchase Education Workshop +5 more
Languages: English, Spanish
MONTGOMERY — 2567 Fairlane Drive Suite 300 886-456-4995
Default/Foreclosure CounselingFinancial/Budget CounselingHome Improvement/Rehab CounselingHomeless/Displacement Counseling +2 more
Languages: English, Other, Spanish
Birmingham — 601 19th St N 205-328-4292
Default/Foreclosure CounselingFinancial/Budget CounselingFinancial/Budget WorkshopPre-Purchase Counseling +1 more
Madison — 107 Brookridge Dr Ste C 256-850-3132
Home Improvement/Rehab CounselingNon-Delinquency Post-Purchase WorkshopPre-Purchase CounselingPre-Purchase Homebuyer Education Workshop +2 more
Birmingham — 529 Beacon Pkwy W Ste 204 205-942-8111
Default/Foreclosure CounselingFinancial/Budget CounselingFair Housing Pre-Purchase Education WorkshopNon-Delinquency Post-Purchase Workshop +3 more
Languages: English, Spanish
Birmingham — 2100 Park Pl 205-478-0557
Resolving/Preventing Mortgage Delinquency WorkshopFinancial/Budget CounselingFinancial/Budget WorkshopPre-Purchase Counseling +1 more
Mobile — 584 Azalea Rd 228-896-3386
Default/Foreclosure CounselingResolving/Preventing Mortgage Delinquency WorkshopFinancial/Budget CounselingFinancial/Budget Workshop +2 more
Languages: English, Spanish

UNITED WAY OF CENTRAL ALABAMA, INC.

Birmingham — 3600 8th Ave S 205-458-8950
Default/Foreclosure CounselingFinancial/Budget CounselingFinancial/Budget WorkshopFair Housing Pre-Purchase Education Workshop +7 more
Jasper — 224 Highway 195 205-221-4011
Default/Foreclosure CounselingFinancial/Budget CounselingFinancial/Budget WorkshopFair Housing Pre-Purchase Education Workshop +6 more

Foreclosure in Alabama

Process Non-judicial (trustee sale)
Typical Timeline 60–120 days
Homestead Exemption $15,500 (Ala.

Read the full Alabama foreclosure law guide — timeline, protections, redemption rights, and anti-deficiency rules.

Most-Complained-About Mortgage Servicer in Alabama

Wells Fargo & Company leads with 431 CFPB mortgage complaints in Alabama (out of 3,578 total across all servicers). If you're having issues with your servicer, a HUD-approved counselor can help you navigate the complaint process.

File a CFPB complaint · View full Wells Fargo & Company complaint profile

Disclaimer: American Default does not endorse, rate, or rank any provider. All listings are sourced from federal government databases (HUD, DOJ US Trustee Program, Legal Services Corporation). Inclusion does not constitute a recommendation. Always verify credentials and suitability for your situation independently.

Frequently Asked Questions

How many verified help providers are in Alabama?

There are 24 government-validated organizations serving Alabama: 23 HUD-approved housing counselors, 0 DOJ-approved credit counselors, 0 debtor education providers, and 1 LSC-funded legal aid offices. Of the 23 counselors, 18 offer foreclosure prevention services and 7 serve in Spanish.

Are housing counselors in Alabama free?

Yes. HUD-approved housing counselors provide free, confidential assistance. They can help you understand your options if you're behind on your mortgage, facing foreclosure, or dealing with a reverse mortgage. Alabama uses non-judicial (trustee sale) foreclosure, with a typical timeline of 4 months. The earlier you contact a counselor, the more options you'll have. Call 1-800-569-4287 to reach one.

What is the difference between credit counseling and debtor education in Alabama?

Credit counseling is required before filing for bankruptcy — a counselor reviews your finances and discusses alternatives. Debtor education is required after filing — a course that covers budgeting, money management, and using credit wisely. Both are provided by DOJ-approved agencies. Alabama had 20,636 bankruptcy filings last year (#1 nationally per capita). 29% were Chapter 7 liquidations and 71% were Chapter 13 repayment plans.

How do I qualify for free legal aid in Alabama?

LSC-funded legal aid is available to low-income individuals, typically those earning below 125% of the federal poverty level. Each organization has its own intake process — call and ask about eligibility. Many can help with foreclosure defense, debt collection harassment, and housing disputes. Alabama has 1 LSC-funded legal aid office — Legal Services Alabama, Inc. is the primary provider.

How current is this directory data?

Provider listings are pulled from federal government databases: HUD's Housing Counselor API, the DOJ US Trustee Program's approved agency feeds, and the Legal Services Corporation's grantee database. Data is refreshed periodically from these official sources.

What type of foreclosure does Alabama use?

Alabama uses non-judicial (trustee sale) foreclosure. The typical timeline from first missed payment to sale is roughly 2–4 months. Lenders may choose either path, so timelines vary. See our full Alabama foreclosure law guide for details on protections, redemption rights, and homestead exemptions.

What are the top mortgage complaints in Alabama?

Alabama has 3,578 CFPB mortgage complaints on record across the 30 largest servicers. The most-complained-about servicer is WELLS FARGO & COMPANY with 431 complaints. If you're having issues with your servicer, a HUD-approved counselor can help you navigate the complaint process, or you can file a CFPB complaint directly. See WELLS FARGO & COMPANY's full complaint profile.

Want a professional to review your situation?

A HUD counselor, attorney, or listing agent in AL can help — many at no cost.

Thank you. A local professional will be in touch. In the meantime, visit our free directory to find HUD-approved counselors and legal aid near you.

We connect you with HUD-approved counselors, legal aid, and state housing agencies. We do not sell your information.

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If you're struggling with debt or facing foreclosure, free help is available. Find help near you · Browse the Glossary · The U.S. Department of Housing and Urban Development provides HUD-approved housing counselors at no cost. You can also call 1-800-569-4287.