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Some millennials are struggling to get out of debt

Millennials have broken all previous generation’s college attendance records. For all of these young adults with recently acquired college degrees, student loan debt can be a big problem. In addition to student loan debt, many of them in Florida and around the country are struggling to pay off credit cards, car loans, personal loans and medical bills.

The first step to getting out of debt is acknowledging the debt and organizing payments. People who have a lot of debt from various sources may miss payments because they do not keep track of every source of debt that they have. To prevent penalties from missed payments, a debtor may want to set up automatic minimum monthly payments for each account. With the minimum payments covered, people can return to each account to pay extra when they are able to.

Student loans are often the biggest source of debt for millennials, and there are some payment plan options for people who cannot make the minimum monthly payments on their loans. However, it is important to keep in mind that extending the repayment period for a student loan debt will be more expensive in the long run.

It is important for people to save money for emergencies even when they are paying off a lot of debt. However, some people do not have any money left over to add to their savings account after all of their minimum monthly debt payments are processed. An lawyer may be able to help a person in this situation to determine whether filing for Chapter 13 bankruptcy would be an advisable alternative.

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