McKinney, Texas Credit Card Debt and Bankruptcy

On Behalf of | Nov 19, 2010 | Bankruptcy |

McKinney Texas is one of the fastest growing cities in the United States. According to a very recent national poll in a popular magazine it has been voted the fifth best place to live in America. That is one of the many reasons for the recent influx in population in the area. Unfortunately, moving is not cheap. A lot of times the reason for the move is because of a job change. Sometimes, when people move to McKinney they have to take a substantial reduction in income.

In McKinney, it is often the case that someone is able to buy a much larger home for a lesser amount of money than they would have in the part of the country from where they moved. However, people in McKinney often don’t make as much money as what people in the other parts of the country make. According, sometimes families are forced to live on credit card debt in order to make ends meet.

Also, many families who have lived in McKinney for quite some time have experienced a job loss in the great recession that America has just experienced. Reduction in income, loss of job, death, divorce and other similar tragedies often cause people to be left with no other choice but to utilize their credit cards that they have been offered in order to put food on the table and take care of loved ones. The problem is as soon as the debt is incurred, interest begins accruing on the debt. Often times, that interest really starts snowballing about the time that the individual who borrowed the money is at his or her worst financial time period in their life. Accordingly, sometimes there are no other solutions other than seeking your options under Chapter 7 or Chapter 13 of the bankruptcy code.  Many times when the minimum monthly payments on the credit card are going only towards the interest that is being charged the only non-bankruptcy options are debt settlement or debt consolidation.

If an individual who has a bad debt problem does not take action quickly, than that can result in a complete depletion of retirement funds, foreclosure, or the inability to save for their individuals future of the or their children’s education.