Help with Credit Card Debt for African Americans

Many people have credit card debt. In fact, it is estimated that the average adult in America has around $8,000 in credit card debt. The problem with this is that if people fall behind the interest climbs and soon the person can be buried in debt. It is important for people to consider getting help with credit card debt. For African Americans and others who need assistance there are a few options they can explore.

While that is the average credit card debt, there are some people who owe two or three times or more. They are in serious credit card debt that is making it difficult for them to keep up with their payment obligations. When you get into that kind of debt there is also a good chance you are merely making the minimum monthly payment. Doing that will keep you in debt for a long time and make you pay far more on what you borrowed.

Saving Money

Credit card companies stretch out the amount that you have to pay back, so that you end up paying a lot more in interest. This is how they get richer, but the consumer struggles and gets further into credit card debt. If you find yourself in this situation it is crucial that you find a viable solution to turn to. The sooner you get the credit card debt under control the more money you will end up saving.

The goal is to save money that you would otherwise spend on interest that goes to the bank. Another goal is to get out of debt so that you will not be bound to paying on these bills each month. You will be able to free up your money and spend it on other things. Getting help with credit card debt is limited, but there are a few options.

Help with Credit Card Debt

Unlike other issues, such as needing things to help meet your basic needs, there are not many programs that will help with credit card debt. This is because it isn’t a basic necessity and having this kind of debt is often associated with questionable spending choices, even though some people may have been using the credit cards simply to meet their basic needs.

There are no companies or programs you can contact and apply for them to pay off your credit card debt. That is not a service offered by the government or by organizations, but that doesn’t mean you are without options. There are some options to consider, including these:

Consolidation Programs – If your credit card debt is spread among numerous accounts you can consolidate your debt. This will allow you to focus on paying one payment per month and may help save you some money in interest. There are consolidation programs available through lending institutions and banks that you can apply for. Look for one that has a lower interest rate than what you are paying with the credit cards.

Bankruptcy – Declaring bankruptcy is a way for people to get help from their credit card debt and be able to get a fresh start. There are different options available, including Chapter 7, which is the most common one that consumers choose. If a judge approves it then you will be able to have your credit card debt legally wiped out and you will not have to pay it back. There are some consequences that come by doing this, such as having it stay on your credit report for years. It could impact your credit and make it to where you get higher interest rates or have a difficult time getting approved for any type of loans. Chapter 11 bankruptcy will keep you paying for your debt, but it will make the arrangements easier for you to manage each month. Discuss the bankruptcy options with a local attorney who specializes in them.

Balance Transfers – Knowing how to do balance transfers can save you a lot of money in interest as you work to pay off your credit card debt. To do this you will look for credit card offers that are offering balance transfer offers. For example, they may offer something like “transfer your balance here and get zero interest for 12 months.” This is a great option, because it means that you will not incur any interest as you pay on the balance during those 12 months. It is important to get the balance paid off before that timeframe is up, or move it again to a different card, so you don’t get charged interest. You can find balance transfer promotions online.

Side Hustles – Another way to get help with credit card debt is to start a side hustle and use all the extra money earned to pay the debt. This can help pay down the debt quicker and save a lot of money over time in interest. There are many different type of side hustles that you can do, with something that would interest everyone. Do some online searching to get side hustle ideas and see which one seems like a good fit for you. This will help you get the debt paid off and save your credit.

Credit Agencies – There are some businesses that offer services to help people better manage their debt. You can look into these businesses to see if they make sense for you situation. They will review your debit, help you find a way to better manage it, and make a plan to get you out of it in a timely manner. They work with you to get to know your situation and help find a solution. The downside of working with an agency like this is that they will charge you a fee for their service, and often times you could do this on your own.

If you need immediate assistance and have fallen behind on your credit cards, call the credit card companies. They will often work with people to find a solution that will help ease the burden. However, it may come at an increased amount of interest being paid over time.

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