Most people know that one of the growing problems with our government is that it has taken on a massive amount of debt. For individuals, the situation is not very different. Most Americans need to eliminate their credit card debt and the sooner the better! In the past, it was not so difficult to eliminate your credit card debt. You simply set up a budget plan, and pay it off. However, the amount of debt typically owed by the average person in America ten years ago was only $8,000. Today that number stands at around $22,000.
To eliminate credit card debt in the past, one simply paid off one card at a time, and after a 24 month period, all three credit cards were paid off. Fortunately, or unfortunately for Americans today, the average household holds close to eight credit cards, and as stated earlier, the approximate balance on those cards is approximately $22,000. How can the average family eliminate credit card debt now?
At Nationwide Debt Reduction, we call this the “debt trap”, as most Americans cannot afford to eliminate credit card debts by paying them off one at a time. Either the balances are too high to begin with, or favoring one credit card over the other could lead to higher penalties and interest on the other credit cards that you hold.
Therefore, we recommend our services to help you eliminate credit card debt. We do that by negotiating with the creditors themselves. We convince them to agree to accept 30% to 60% of what you currently owe them and pay that off. Why, you may ask, would a credit card company do this? There are many reasons why. However, the most common is that they do not want you to file for bankruptcy, whereby they would get nothing. Another common reason is this: the payments that you have already made to them actually cover the original purchases that you made and we are simply negotiating the left over interest that you have been charged.