Surveys indicate that the credit card crisis nationwide, and including in Arkansas, has not ended. There may be more people watching their step and using credit more judiciously these days, but according to one survey by a national credit counseling foundation, a full 20 percent of those surveyed indicated they had to rely on credit cards to make ends meet. Thus, it's clear that some consumers will benefit by the bankruptcy remedy, which is an effective and powerful way to wipe out large amounts of unsecured credit card and medical debt very quickly.
One fallacy about bankruptcy is that the debtor will never get credit again. That's not true for the vast majority of people who have successfully completed a consumer bankruptcy. Whether you file in Arkansas or another federal bankruptcy district, there is a good likelihood that you'll be able to restore credit fairly soon after the case is discharged.
Many people immediately assume that someone who carries a lot of credit card debt is an irresponsible person, or that they simply don't understand "the concept of money." To be fair, these stereotypes could be true of some people. But there are many people out there who are carrying credit card debt because they had to make an unexpected or extreme purchase for their livelihood, or for the betterment of a loved one.
A new report on credit card debt in the United States has been released, and the numbers do not paint a pretty picture. According to the new report, Americans paid off $32.5 billion in outstanding credit card debt in the first three months of 2014. You may read that figure and think that this represents a major achievement -- but it's 1 percent less than was paid in the same timeframe in 2013 and 5 percent less than the same timeframe in 2012.
It is easy to think that people who carry significant credit card debt are bad with their money. Many people may assume that these debt carriers simply can't curb their personal spending habits, or that they can't recognize when they need to save their money for a more important time.
There is some uplifting news in the world of credit card debt -- if you can believe that. Gallup performed a random credit card poll on 1,026 adults. There were some crucial findings from this poll, the first of which is that 29 percent of Americans do not own any credit cards, which is the highest rate since 2001. In addition, the average number of credit cards that a card-carrying American owned is 3.7, which is less than what was reported in 2001.