Tuesday, March 14, 2017

The Five States With The Most Credit Card Debt

If you have ever watched late night television you will be familiar with the country’s fascination with lists; “top ten this”, or “the most of that” types of lists. Having data assembled in an easy to read list helps put things in perspective, and allows people to instantly determine where they fall in the line. These types of lists can also help families decide where to send their kids to school, or what neighborhood is considered the safest. And if you are not looking for the three most popular ways to cut carbs, you still might find a list on the topic an interesting read.

Another interesting read is which states have the most debt, and in particular the most credit card debt. Credit cards are being used more and more often these days, and the balances can quickly add up to astronomical amounts. The five states with the most credit card debt are:
         New Jersey

It is probably a safe bet that these states have the most debt because the payments being made are only the minimum amount. When a credit card is not paid off monthly, or only nominal payments are made, the balance can escalate pretty fast. But not everyone has the financial ability to pay off their credit cards in full each billing cycle, or even to pay a bit more than the minimum payment that is required. So what do you do if you are not financially able to pay your credit cards off in full? One thing you might try is to file for bankruptcy. Bankruptcy can either wipe out, or reduce your bills, depending on what chapter of case you qualify to file. In a Chapter 7, all of your unsecured debt, which includes high interest rate credit cards, is subject to the discharge. What this means is that you can eliminate all of your outstanding credit card debt by filing Chapter 7 bankruptcy. In a Chapter 13 you will only have to pay back a percentage of your credit card debt. The percentage you have to pay back will depend on the specific facts of your case, and we can take a look at your finances for you and let you know what to expect.

For more information about credit card debt and how to handle it, call us today or reach us online at www.law-ri.com. We have multiple locations to serve you and can schedule a time to meet at the office most convenient for you.

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