Many American consumers do not know they owe money

 Posted on June 24, 2019 in General Bankruptcy Topics

In Maryland and across the United States, a lengthy marriage culminating in divorce may cripple a spouse's financial circumstances. Many women with children were previously living comfortable lives only to find themselves financially struggling as single individuals. Numerous divorced seniors must cope with living on fixed Social Security payments. According to a recent U.S. News & World Report survey, 20% of consumers living in the United States do not know if they have any outstanding debts.

Numerous Americans do not know anything about their credit line interest rates. The survey indicates that 24% of Americans owe at least $10,000 on their credit cards. Many survey takers admit they have revolving credit card balances of at least $2,000. Furthermore, 16% of the participants say they do not know whether they have credit card balances. Numerous consumers do not have a debt plan or strategy.

Most survey takers say they only use one credit card. In addition, the majority of survey takers reveal they are not in debt. These American consumers pay their full credit card balances by the due dates and do not need to pay interest because they do not owe any money. American credit card holders with excellent credit can easily transfer their credit card balances to other credit cards offering zero percent interest rates for specified periods. However, many consumers have poor credit scores resulting in the inability to transfer their debts to zero percent interest credit cards.

Disqualified credit card holders must continue to pay high interest rates and live in debt unless they create financial plans. Yet American consumers do not need to let debt ruin their lives. One solution may be to file for bankruptcy. Filing for Chapter 13 bankruptcy or Chapter 7 bankruptcy with the help of a lawyer may offer a way out of debt.