Bankruptcy could well be the undesirable end to your credit card debt.
Most people in the US have survived on plastic money for long.
People have been paying minimum amounts to live another day.
As long as they had jobs, they had the means of paying back their debt.
The recession has seen very large job cuts across the board.
People do no have a regular source of income and have peaked out with their debts.
This has forced them to take some tough debt relief decisions.
The credit card users need to decide whether they should be taking the bankruptcy route or some other options are available.
The earlier they take this debt relief decisions, the better it is for their future.
Bankruptcy can always be an option but it should be looked at as the last resort.
Let us take a look at what it involves.
The government will be appointing officials of the court.
They will make a list of your assets and liabilities.
In order to meet all your payments your assets will be disposed off.
There after you may be able to clear off all your debt, but you will never recover your credit score.
So this will be a one of your toughest debt relief decisions.
You need to find some means to avoid bankruptcy.
One of the wise actions to take will be to go in for a debt settlement program.
You will be taking a loan at a very low rate of interest.
This loan is utilized to you pay off your credit card debt.
The credit card companies are also very happy to go in for debt settlement since they receive major part of the outstanding payments.
With such good debt relief decisions you can reduce 60 percent of the outstanding.