Helping You Navigate Complex Legal Issues

Avoiding credit card debt won’t make it go away

On Behalf of | Jul 3, 2019 | Credit Card Debt |

It might surprise some Texas residents to know that not everyone pays attention to their financial obligations. One recent study conducted by U.S. News and World Report involving 1,000 adults found that approximately 21% of the participants did not even know if they have credit card debt. Under these circumstances, consumers could easily end up in a precarious position when it comes to their finances.

The amount of credit card debt of Americans reached $870 billion on around 480 million accounts in 2018, according to the latest reports. The Federal Reserve says that this is an all-time high. Current data indicates that 100 million of those cards were acquired since the recession.

Even when cardholders are aware of how much they owe, they may not know what the interest rate is on their balances. According to a survey involving 2,000 consumers conducted by CreditCards.com, almost half did not know or were unsure of what the interest rate on their cards was. Some sources attribute these issues to the fact that it is too easy to acquire a credit card online. Regardless of how the accounts were opened, failing to know about or understand these financial obligations could lead to trouble. 

At some point, outstanding credit card debt will become an issue even for individuals who know exactly what they owe and how much interest they pay if they cannot dedicate monetary resources to paying them. When that happens, creditors begin calling, letters are sent and the cycle of debt collection efforts begins. For Texas residents who find themselves overwhelmed by this and other types of debt, finding the right debt relief option is vital to resolving the issue. Fortunately, no one has to deal with this situation alone. Legal assistance is available in finding the right solution.