Credit Card Debt: Is It Time For An Intervention?
Credit card debt is one of the main manifestations of financial insecurity; medical debt, student loans, and buy now pay later obligations are other common sources of financial insecurity. The majority of adults in almost every U.S. state carry a credit card balance from one month to the next; Florida ranks somewhere in the middle regarding the average credit card balance per household. Nationwide, credit card balances have been climbing higher as economic hard times persist. Some people use their credit cards to pay for travel and consumer goods that they would never be able to afford if they were to spend within their means, while others rely on credit cards for necessities even after paring down their non-essential spending to the bare minimum. The good news is that you have several options for getting out of debt if credit card debt is the main problem. A Jupiter debt consolidation lawyer can help you decide whether a debt consolidation loan is the best strategy for tackling your credit card debt.
Signs That Your Credit Card Debt Is Out of Control
In today’s economy, paying down one’s credit card balance to zero every month is something only rich people can afford; the people who have a high enough income to pay off their credit cards every month are the same ones with a predictable enough schedule and reliable enough childcare that they can go to the gym before work. If your credit card balances stay about the same from one month to the next, you are in a better situation than you think. If you have a reliable income (even if you are living paycheck to paycheck) and can afford the monthly minimum payments, then your credit card debt is under control.
If your necessary expenses exceed your income, however, then credit card debt is a symptom of a bigger problem. Your credit card debt is out of control if you have missed a minimum payment and cannot afford to pay the upcoming one. It warrants mention that this problem is not your fault, but rather is the result of an economy where prices are rapidly rising, while wages rise much more slowly. If this is the case, you might need to take on more debt temporarily to pay off your credit card debt, or admit to yourself and others that you cannot pay off the credit card debt at all.
What to Do If You Are In Over Your Head With Credit Card Debt
If you are sure that your current income does not enable you to pay down your credit card debt, a debt consolidation loan might be the solution. It is an unsecured personal loan with a much lower interest rate than credit cards. If you use a debt consolidation loan to pay off your credit cards, you may find that it is much easier to afford the monthly payments on the loan. Another option is to declare chapter 7 bankruptcy, which may enable you to discharge the credit card debts that you cannot afford to pay.
Contact a South Florida Debt Lawyer About Consolidation Credit Card Debt
A South Florida debt lawyer can help you tackle your credit card debt through debt consolidation or some other means. Contact Nowack & Olson, PLLC in Jupiter, Florida to discuss your case.