It is estimated that the national consumer debt will rise by a stretch of billions of dollars in the coming fiscal year, according to some reports. Michigan residents will join with Americans across the nation to accrue more debt than ever, most notably credit card debt -- a notoriously difficult type of debt to pay down. Thankfully, there are a variety of ways those in debt can help mitigate their loans, from comprehensive debt planning through to bankruptcy.
According to some studies, the average household carries approximately $7,000 in credit card debt. That is slated to go up this year, when the national credit card debt is expected to rise by nearly $47 billion over the course of the year. That will bring the existing total of all plastic debt in the country since 2011 to a staggering $130 billion.
Thankfully, those struggling with credit card debt have several options available to them. Paying off the credit card with the highest rate of interest, for example, is a good way to make headway on bringing debt to a more manageable level. Proceeding in this way from highest to lowest interest rate can mean lower monthly payments overall once the higher cards are paid down.
Ultimately, of course, further options are also available for those in more dire straits. Debt restructuring can help some Michigan residents to get a stronger handle on their finances. For others, a bankruptcy filing might be the best bet as it can allow some debts, including certain credit card debt, to be forgiven.
Source: whec.com, "Americans to add $47-billion in new credit card debt in 2013," June 12, 2013