You may have heard the phrases “good debt” and “bad debt” get tossed around by those that study consumer debt. Most, if not all, will agree that credit card debt is bad debt. The newly released numbers are staggering. Over 2 million households have over $20,000 worth of credit card debt. Consumer debt in total continues to rise and has surpassed 2011 levels, now reaching $11.52 trillion. Check out more of the statistics in the following article.
Consumer debt statistics
Most concerning is that 28 percent of those carrying debt owe more in credit card debt than they have in savings. Americans are showing no improvement overall in reducing credit card debt. People carry credit debt for a number of reasons, such as unexpected medical debt, decrease in income, or just bad budgeting. Regardless of the reason, it is easy to slip into the habit of using your card with the hope for a better day that will allow you to pay it off. That’s a big gamble when you consider the interest you will pay to carry this debt. I talk to a number of consumers that have done just that.
Most hit a breaking point that makes them call me for help. What’s your breaking point? Does your significant other find out about your secret debt? Are collectors calling you, your family or your employer? Have you been named as a defendant in a credit card lawsuit? Do you fear opening your mail? None of these situations is comfortable and you shouldn’t allow your debt to control your life. You do have options available to resolve your debts. If you have hit your breaking point with your credit card debt, you should seek the assistance of a professional credit card debt lawyer with experience in handling consumer debts. Educate yourself on all available debt relief options with a free consultation to see what suits your situation best.