Personal Debt

Credit comes in a variety of forms, each designed to fulfill individual needs. As an example, personal loans, mortgages, car loans and of course credit cards are used by most, and abused by some. Many consumers are being taken advantage of through huge rates, hidden fees, small and often difficult to understand print as well as ever changing rules.

Facts You Should Know

Banks issuing credit cards have never lost a dime from non paying credit card holders. Their losses are covered by insurance companies and penalty payments from cardholders. Enticements for the consumer of low or zero percent for a limited time (usually six months to a year) without disclosure, or disclosed in very small print. Then of course, if a payment is one day late, they will raise the interest rate to the highest default rate allowed in your state.

Recent laws were enacted to limit credit card companies as to rates and fees along with regulations they have to abide by. However, these new laws do not go into effect until next year. Meanwhile, banks have taken advantage of the time delay by raising rates and fees along with lowering limits.

The banks are earning huge amounts of money from credit card holders and it is one of the many reasons they will settle some accounts for approximately 50% of what the customer owes. Let us show you how!

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