Because of the financial strain Covid 19 has put on so many people, the Law Firm of William H. Lively, Jr. is lowering the up front costs for filing Chapter 13 bankruptcy cases for new clients. If you need to file a Chapter 13 bankruptcy and cannot come up with a large down payment to hire an attorney, contact our office–we can help get you protected for less.

Credit card debt a long-term burden

Many Texas residents struggle to make ends meet, especially if they are drowning in credit card debt. It can be all too easy for credit card obligations to add up, especially as interest rates climb. While many people intend to pay off their balances every month, it can be difficult to do so, especially if people needed to use their cards to pay for a large purchase. In other cases, people lost their jobs or faced other changes to their financial circumstances that made it much more difficult to pay their bills. Still, many financial experts advise avoiding rolling credit card debt as much as possible.

However, according to reports, 82% of all credit card balances are carried past a month and often turn into long-time debt. This is true not only for people struggling with bad credit but also for those with high credit scores. Most of this debt remains for some time; around 70% of these balances revolve for at least a year and 55% of these balances remain for at least two years. Many people are inspired to open a credit card, make a large purchase or transfer a balance by a low introductory interest rate. However, the rate can soon rise to as much as 28%.

This makes it very difficult to pay off the balance without a larger sum of money, especially as the interest causes the total to rise. People may feel hopeless about paying off their credit card debt.

People who are facing creditor calls, collection attempts or overwhelming credit card bills may be looking for debt relief. A bankruptcy attorney can provide guidance on Chapter 7 or Chapter 13 personal bankruptcy and why they may provide a path for a different financial future.