How To Get Credit Card Debt Relief

Are you feeling overwhelmed by your current credit card status? Unfortunately, the recent financial crisis has elevated the risk of credit card debt challenges for most Americans. The reported credit card debt for Americans was $820 billion as of the last 2020 quarter. 

However, while this was a significant drop from the previous year’s $930 billion, most Americans are still individually overwhelmed by credit card debt. Below is a guide on how to get credit card debt relief.

  1. Get Credit Counseling and Weigh Your Options

While this is not a clear-cut solution to get credit card debt relief, it helps you evaluate where you stand. In addition, a credit counselor helps you assess your credit and budget and enables you to find the best solution to get credit card debt relief. 

Credit counseling helps you understand how a debt management plan via a debt management agency will help you. Once you have all options, you can decide which one will work for you.

  1. Bankruptcy

The most common bankruptcy form, Chapter 7 liquidation, is ideal for erasing medical debt, unsecured personal loans, and credit card debts. Approach a qualified bankruptcy lawyer if you decide to go this route. Fortunately, most initial consultations are typically free. However, if you don’t qualify, you can proceed with other options.

Unfortunately, bankruptcy may not be the best option for your credit card debt relief if you have to surrender a property you intend to keep. If you still insist on bankruptcy for debt relief, you may also consider filing for Chapter 13 bankruptcy. Generally, to avoid the unending court processes, you can opt for an alternative solution to get credit card debt relief.

  1. Debt Settlement

Debt settlement is an ideal choice for individuals who face overwhelming credit card debt and sadly don’t qualify for bankruptcy. You can attempt to settle yourself or choose to hire a professional. However, the debt settlement process is a tedious process, which requires years of experience and expertise. 

If you attempt to settle yourself, you could benefit from the efforts of a negotiator at a credit card debt relief company. Credit card issuers are not eager to discuss settlements unless you provide overwhelming evidence of your inability to repay the credit card debts. In addition, if you want to hire a professional, ensure they have substantial experience and an excellent track record.

A visit to will reveal a highly professional company that provides debt relief programs for different types of debt. All you need to do is talk to a certified debt consultant to see if you are a right fit for the program. Once you know how much you can save with the program, you will enroll in the debt relief program. The company then negotiates settlement with your creditors until all the credit card debt is cleared.

  1. Debt Management Plan

With a debt management plan, you can pay your credit card debts in full, but with fees waivered or at a reduced interest rate. You will make single monthly payments to a credit counselor, which is distributed among the creditors. Subsequently, your credit card accounts will be closed, and you may not access credit cards until you finish the repayment plan. Fortunately, the debt repayment plan does not hurt your credit score, and you may reapply for credit again once you complete the plan.

  1. Consolidation

Refinancing or consolidating helps to make your credit card debt cheaper. Ideally, you will roll your debt into a new account with better and lower interest rates, which potentially makes your payment cheaper and faster. However, you need to have a good credit score to qualify for better interest rates.

Bottom Line

Credit card debts are overwhelming on one’s finances and mental wellbeing. However, the average American still finds themselves going deeper into credit card debt. While credit cards are convenient, there is a need for a limit. 

Take your time to consider how to get credit card debt relief to avoid overwhelming yourself further. Most importantly, ensure you work with a professional to help you discover the best solution for getting credit card debt relief.