Many feel as if they will die in debt
Research from CompareCards.com found that credit card debt may be a bigger problem than student loans for many millennials in Mississippi and around the country. Among those who participated in the study, 67% reported having credit card debt while only 36% had student loan debt. It found that among individuals in this age group who had credit cards, only 13% had no debt. Furthermore, about a quarter of respondents said that they would die in debt regardless of how old they currently were.
Among those who made such a claim, 16% had an annual household income of $100,000 or more. Women were more likely than men to say that they would likely pass away still owing money to creditors. However, the average millennial respondent said that he or she would be out of debt by age 49. Parents who had children under the age of 18 were more likely to have credit card debt compared to those who had no children at all.
Across all groups, 70% of respondents who owed money to a credit card company had at least one other debt. Financial professionals recommend that those who are in debt take any action necessary to pay it down. In many cases, putting even a few extra dollars a month toward a debt can make it more manageable in the long run.
Individuals who are experiencing financial difficulties related to credit card or other types of debt may want to consider bankruptcy. Filing for bankruptcy may entitle a person to an automatic stay of creditor contact. This means that a debtor won’t receive phone calls or letters related to an outstanding balance. Other benefits of bankruptcy could include extra leverage to negotiate new home or auto loan terms or the ability to discharge certain unsecured debts quickly.