Bankruptcy may be the best option for those who are unable to repay mounting credit card debt..
Are you struggling to pay for excessive debt? If you find yourself buried by increasing credit card debt, an unmanageable mortgage, or high car payments, it may seem like there is no end in sight. At this point, it is time to consider your options and make a smart plan for the future.
Unmanageable Credit Card Debt
There are many issues to consider before filing for bankruptcy. For example, it is important to review your finances and decide whether or not you can really afford to pay back your debt. There are many ways to deal with unmanageable credit card debt.
- Payment Planning. If you are having a difficult time paying down credit card debt it is time to create a plan. Begin by paying the minimum balance due on all of your cards and then putting as much money as possible towards the card with the highest interest rate or fees. Once this card is paid off, move to the card with the next highest interest rate and so on. This process may take a long time to complete, and will require that you do not incur additional debt as you are working to pay off what you already owe.
- Consolidate Debt. Another option for managing excessive credit card debt is to try to consolidate multiple credit cards and other debt. In some cases, it is possible to obtain a personal loan that will cover multiple credit cards at a lower more manageable rate. Another option may be to transfer credit card balances onto one card with the lowest annual percentage rate. This allows you to make just one large payment rather than multiple minimum payments.
- Debt Settlement. Another option to consider is settling debt accounts with your credit card company or other lenders. This allows you to reconcile large accounts for less than you actually owe. To do this, you must contact your creditors and ask for a settlement. An experienced bankruptcy lawyer may be able to assist with this process if you are being harassed by creditors or pursued by collection agencies.
In some cases, creditors may decide to take legal actions to recover their funds. A court decision may also allow credit card companies or collection agencies to garnish wages or recover assets. If you are facing a lawsuit, cannot afford your credit card payments, and none of the repayment options work for you, it may be time to file for bankruptcy.
If bankruptcy is the best choice for you, and you choose to file you will need to consult your bankruptcy lawyer on how to manage payments.
Michigan Legal Solutions
Our experienced attorneys are committed to providing our clients with the guidance and support that they need to resolve their unmanageable credit card debt. With over five decades of experience serving clients in Southeastern Michigan, the attorneys of Michigan Legal Solutions have the experience and resources to resolve our client’s mounting debt. Our attorneys are seasoned professionals that will help you successfully navigate this time in your life.
Our attorneys will provide you with the guidance you need and the service you expect so that you get the result you want and the protection you deserve.
Michigan Legal Solutions
28345 Beck Road, Suite 401
Wixom, MI 48393
Phone: (248) 869-0030
Fax: (248) 869-0039