Today in America credit card balances among consumers ranks as third highest form of personal debt followed only by mortgages and student loans. It is easy to get in over your head if you do not have the discipline of money management. It usually starts out with good intentions, however, impulse spending and unforeseen emergencies can get your balances out of control. Many Americans are in this predicament and is something seen on a regular basis at cantpay.com.
One of the key problems that leads to this massive burden and possible San Bernardino’s bankruptcy is the mistake of just paying the minimum due every month. It mostly just pays the interest with very little going to the principal. As a result of the Credit Card Act of 2009 you now have a table on every statement that shows how long it would take to pay off the balance by using this minimum payment as compared to how long it would take to pay it off with larger payments. One glance at this and the dilemma can be obvious
If you are one of those that is only paying what is required then you must ask yourself these questions. Are my total balances over or under the national average of $16,000? Am I using one credit card to pay off another? Do I have too many cards ? Do these high balances bother me to a point of distraction ? After you have answered these questions you may realize that help is needed. If you get a handle on your problem early enough then you are ahead of the game.
Even though your payments may be current it can never be too soon to seek help and avoid the stigma of San Bernardino’s Bankruptcy. A debt relief agency, or an attorney who specializes in this field, could be the best way to approach it. The advantages are all there. They are able to consolidate your balances, give you the opportunity to make lower monthly payments, lower your interest rates so more of your money goes to reducing the principal, and, most importantly, give you that much needed peace of mind.
