Who should consider filing bankruptcy
Credit card debt is pretty much unsecured debt and it can be wiped out if you qualify for chapter 7 bankruptcy. The ability to erase credit card debt by paying an attorney $1,200.00 is the best legal way to correct your financial mistakes. People will often debate the ethics of not paying down your debt but they often leave off the ethics involved with credit card companies increasing their interest rates to the point that it could double your monthly minimum payment due to the credit card company. In addition to these increases, the credit card companies can use almost any excuse to increase your min payment due. One excuse can be that you were late on another credit card or that your FICO score dropped down. There is no way to protect yourself from these lenders unless you have thousands of dollars. There is one way to protect your self and that is to not do business with them.
How can you stop doing business if you owe them money?
The only legal way is to not do business with them and if you owe thousands of dollars then you need to consider filing bankruptcy as your option to get out of debt. One of the tipping points was creditor that increased their annual percentage rate from 9% to 22% percent after I was late by a payment by a couple of days. I did not have any stamps and had not sent out the payment in time. I would typically pay them online and be done with it but, my computer was down and it had slipped my mind. The credit card increasing my annual which therefore increased my monthly payment was a blessing in disguise and was the final straw when I decided to file bankruptcy in Michigan
Taking control or your financial future may require you to sell a home of file bankruptcy. However, to continue down the same path and not making significant progress only hurts you and increases the bottom line of the credit card company. Waiting for increase in pay or a raise will not help someone who is thousands of dollars in debt and you need to really consider filing bankruptcy and increase money you set aside for retirement.