Due to the recent increase in debt balances for the average citizen, many Tennessee residents may be considering their financial options. It was recently reported that credit card debt and other revolving debts had seen a $6 billion increase in the last months of last year. As a result, those debts nationwide totalled approximately $936 billion, with low net worth households facing considerable burdens.
Reports stated that it was often people with few assets that had high outstanding balances. Due to high interest rates and other factors, those households had an average of nearly $16,000 in debt and over $10,000 of that debt was due to credit cards. Only being able to make the minimum payments on credit card balances each month may be a sign that individuals are having financial troubles.
There are ways to work toward tackling debt, and some individuals may suggest paying down balances on cards that have the highest interest rates. This action could allow for less debt to be accumulated due to interest being added each month. Of course, some individuals may need to take more direct action in order to help their situation.
If individuals believe that their credit card debt is too overwhelming for them to overcome on their own, they may wish to look into their debt relief options. Information on bankruptcy may help interested Tennessee residents find out more about this potential path and whether they may qualify. If parties would like to gain more knowledge on the subject, they may also wish to consult with an experienced bankruptcy attorney.
Source: New York Post, "Credit debt at its highest since the 2009 recession", Gregory Bresiger, Feb. 27, 2016