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Dealing with credit card debt

Many people in South Carolina and throughout the country are struggling with credit card debt. Almost 40 percent of households nationwide have some credit card debt, and the average balance is $5,700.

People over 75 and under 35 have the least credit card debt, with an average of $5,638 for the former age group and $5,808 for the latter. The age group carrying the largest credit card debt is 45-54 with over $9,000 on average. Higher-income households are not free from significant credit card debt, and those with earnings of more than $160,000 have an average of $11,200 in debt.

One of the problems with accumulating credit card debt is that it can be costly because of interest rates. For example, at a 14 percent interest rate, paying off $5,700 over three years costs an additional $1,400. Credit card debt can also begin to spiral out of control and take an emotional toll. However, there are several ways to reduce this debt. One is to begin by paying off the debt with the highest interest rate. Balances on high-interest cards can be transferred to low-interest cards. People can also look for ways to cut expenses or earn more money such as by selling possessions or seeking a second job.

Sometimes, despite these efforts, people may feel overwhelmed about the amount of debt they are carrying. If this occurs, they might want to visit an attorney to discuss whether declaring bankruptcy would be appropriate. Bankruptcy can help with a fresh start, and people may be able to begin rebuilding their credit once the action is completed.

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The Huggins Law Firm, PA

Columbia Office
1812 Lincoln Street
Suite 201
Columbia, SC 29201

Phone: 803-764-1558
Fax: 803-764-1563
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Columbia Office

Charleston Office
925-D Wappoo Road
Charleston, SC 29407

Phone: 843-509-0039
Fax: 866-481-2325
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