There may come a point when you look at your credit-card debt and realize that you are in trouble. You hope you can dig your way out, but have questions about whether it's feasible to do so in a timely manner.
There are many signs that you have too much credit-card debt, including the following:
- You can only afford to make the minimum payment every month
- Your credit cards are maxed out, meaning you can't make any additional purchases even if you want to
- Your debt-to-income ratio is too high
- There are months when you're unable to make your payment on time, thus leading to a late fee
- You're putting all your money toward your credit-card debt, making it impossible to save for anything else
It's possible that you could begin to notice these signs that you have too much credit-card debt. You don't want to panic, but at the same time, you need to take action. If you don't, you shouldn't expect your situation to get better on its own.
If you've tried everything and you can't eliminate or reduce your credit-card debt, it's time to learn more about debt settlement, debt consolidation and bankruptcy.
For example, filing for Chapter 7 bankruptcy can help eliminate your credit-card debt, thus allowing you to start fresh financially and give you a better outlook.
Even though credit-card debt will have you feeling down and out, don't let it stop you from reaching your financial goals in the future. There are always things you can do to make progress.