Credit card debt is rising in the U.S.
On Behalf of O’Brien Law Firm, LLC
Posted on: January 3, 2019
Many people living in Mississippi have concerns about credit card debt. While credit cards can be a useful tool in managing personal finances, consumers will sometimes run up balances that can be difficult to manage or pay off. In fact, a recent study has shown that the average household credit card debt in the United States is $8,284.
In many cases, consumers do not intend to run up significant debts. They use credit cards responsibly, and either pay their balances each month or make reasonable monthly payments. However, circumstances can affect an individual’s ability to pay their credit card bills. For example, someone may become ill, unemployed or face a major, unexpected expense such as a medical bill or home repair.
When people can’t pay their credit card bills or can only pay a minimum amount, balances will balloon due to interest rates and late fees. It can be very difficult to catch up, particularly if one is attempting to cope with a diminished income or other urgent financial obligations. Over time, the stress of trying to deal with creditors and pay bills can take a significant toll on a debtor’s health, marriage and family life.
Fortunately, people living in Mississippi have several debt relief options. These include bankruptcy as well as negotiating installment payments and debt consolidation. Homeowners who are concerned about making mortgage payments may also be able to avoid foreclosure through some similar strategies.
Debtors could benefit from speaking with an experienced attorney. The lawyer might be able to review the client’s current financial situation and make suggestions regarding debt relief options like bankruptcy and possible ways of avoiding foreclosure.