Bankruptcy can be a solution to overwhelming credit card debt

On behalf of The Rollins Law Firm posted in Debt Relief on Friday, December 5, 2014.

The Great Recession that began in the last decade was a wake-up call for many Americans. We were relying heavily on credit and debt, which was fine in a booming economy but could be disastrous during leaner years.

As a result of the recession, credit card use seems to be on the decline. Some Americans are simply going without credit cards, while many others are trying to carry less credit card debt. Unfortunately, reining in your use of credit cards and reducing debt is not an easy thing to do. In fact, there are probably plenty of people still paying off debt they accumulated prior to the recession.

So what is the state of credit card debt today? According to government data analyzed by the financial website NerdWallet.com, the average U.S. household has approximately $7,281 in credit card debt. It should be noted, however, that this figure includes households with no debt whatsoever.

If you look at just the households with any amount of credit card debt, the average debt owed more than doubles to $15,608. That amount of debt is surprisingly easy to accrue, and could be the result of a single medical emergency. On the other hand, that amount of debt can be nearly impossible to pay off in a reasonable amount of time, especially if you have a relatively fixed income.

For many Americans facing this kind of financial reality, bankruptcy may be a smart solution. This is especially true if you have other sources of large debt (a mortgage, student loans, etc). Depending on the type of bankruptcy you qualify for, most or all credit card debt can be discharged outright or can be restructured into a sensible repayment plan.

If you are facing serious money issues and don’t know what to do, please contact an experienced bankruptcy attorney to learn more about your legal rights and options.

Client Reviews
★★★★★
I had a wonderful experience. The staff were nice and very informative. The process was quick and easy. Very affordable for me being a single parent. Would recommend anyone there. - Lashay H.
★★★★★
The Rollins firm assisted me at a very low point in my life. After having a lot of medical issues and expenses, I found myself unable to make ends meet. Mr. Rollings and his staff worked very promptly to help. They made the process so easy to complete. - Vinester Smith.
★★★★★
Fast response and professional advice. Really great to work with and understand what a difficult time in one’s life this is. Will recommend to anyone - Bryan Aust.
★★★★★
My wife and I were in an impossible financial situation where over time, we had built up so much debt that we could no longer keep up with all the payments. We were getting further and further behind until we reached out to the Rollins Law Firm for help. They have the knowledge and expertise through their experience to handle our particular situation. Their entire team of professionals are always available to answer questions, explain your options, and then provide the legal service that you need to relieve your financial worries and get you back on the right track! I recommend the Rollins Law Firm to anyone who needs help to deal with financial struggles. - Mike Zegelien.