Once again, Americans are whipping out their credit cards and saying, “Charge it.” According to a Wall Street Journal article, household debt in the final quarter of 2011 grew at a 0.25% rate. While that is not a huge jump, there has not been an uptick in household debt since the crash of 2008.
Consumers are borrowing, banks are lending more and China is making more products. Meanwhile, the national debt is at an astronomical $15 trillion.
Watch out when interest rates go up. Buying things on credit created the middle class, but it is also destroying the middle class. In the good old days, people would never have imagined taking out a loan to buy a pizza, but that is what people are doing today when they put a meat-lover’s deal on their MasterCard and refuse to pay the balance in full at the end of the month.
If you are making a fresh start after filing for bankruptcy, or even if you are just considering bankruptcy, be careful with credit cards. To avoid paying interest and unnecessary fees, pay your bill in full before the deadline. Also, when shopping, if you really do not need something, do not charge it, even if it is on sale. It is not a bargain if you do not need it.
Contacting a Dallas Bankruptcy Lawyer
At Warren & Migliaccio, our goal is to protect you and your family so that you can take the necessary steps to plan proactively for your future. When financial circumstances outside of your control threaten your wellbeing, take control of your situation and contact our Dallas law firm. We’ll guide you through the legal process so you can make informed decisions and choose the best course of action. If a personalized, teamwork-driven approach sounds like what you need for your case, call 1-888-584-9614 today. We’re here to help.