With your back against a wall of debt, it must feel like the weight of the world is on your shoulders. It doesn’t matter how you got yourself into this position, it only matters that you find a way out. The truth is that it’s far too common for Americans to find themselves facing issues related to debt, particularly credit card debt.
Those facts are supported by the data recently provided by the Federal Reserve. By the end of 2014, Americans had total personal debt of $11.7 trillion. Of that number, there was credit card debt of $882.0 billion, approximately $16K per household. For 14.7% of those families, that number represented at least 40% of their annual income. Numbers like these are unsustainable, leaving too many people praying for a way out.
The Way Out
Depending on the severity of your own situation, there are ways to get the debt relief you need. If you need actual debt relief, debt management would only be useful in helping you learn how to better handle your finances. Debt consolidation might help if you have the means to make debt payments, but have too many bills with too much cash going out the door on a monthly basis. If your problems are reaching unmanageable status, you need to consider debt settlement as the next best solution. Of course, there are no guarantees your creditors will cooperate, so you need to be prepared to deal with the process.
How To Deal With Debt Relief Discouragement
By the time you start looking at debt settlement or even bankruptcy as an option, you might be feeling a bit discouraged. In fact, the debt settlement process stands to perpetuate those feelings of disappointment, leaving you more discouraged. In order to deal with escalating debt problems, you need to stay focused and motivated. Here are some tips on how to keep from feeling discouraged about the debt relief process.
Take Responsibility – If you debt problems were brought on by personal emergencies or tragedies, it’s not you fault and there’s no sense in languishing. If it was due to irresponsible spending behavior, take responsibility for you actions, make improvements and move forward.
Don’t Take Rejection Personally – This is hard to do, but lenders that say no to debt settlement are making business decisions, not proclaiming you a bad person.
There’s Help Available – Debt management companies and credit counselors are available to help you right your financial ship. Don’t be too proud to seek help.
Prepare for the Worse – In most cases, bankruptcy is the worse case scenario. If that’s where you end up, your credit will be damaged, but your debt slate will be clean, allowing you to move forward and start rebuilding.
Understand Consequences Are Not Permanent – None of the consequences of having debt issues are permanent. As long as you use debt management techniques to avoid future problems, everything will be fine at some point in the future.
Here at Rescue One Financial, our professional debt counselors specialize in helping people face and deal with personal debt issues. If you want or need assistance, please schedule an appointment as soon as possible. Working together, there’s a good chance we can find the right solution and put an end to those feelings of discouragement.