If you carry credit card debt you certainly aren’t alone. Almost 40 percent of US households have some credit card debt, and the average amount is around $16,000. Other than scrimping and saving, or paying the amount off over years, there are a couple of options to solve your money problems.
Bankruptcy is an easy and effective way to eliminate credit card and other unsecured debts, such as medical bills and store card debt. You generally get to keep your home and your car if you file for bankruptcy, and although the bankruptcy is on public record, there’s really no need for friends, family or people you work with to know about it. Many people who end up declaring bankruptcy consider it a fresh start and one of the best financial decisions you can make.
Another way to manage debt is to consolidate your payments into one payment, therefore lowering the monthly interest rate and the amounts you pay. You discuss your situation with a debt consolidation company who then contacts your creditors to negotiate a lower monthly payment. You then send one check each month to the debt consolidation company who disperses the funds among your creditors. Most credit card companies participate and it can be an effective way to stop those harassing phone calls.