In a larger sense, the news is good—bankruptcy filings in Phoenix and across Arizona continue to decrease when compared to 2013 figures. Case numbers have risen slightly in the last two months, but overall, there has been marked improvement. You may think that there is nothing bad that could possibly come out of that, but you would be wrong.
Plastic, Not So Fantastic: The Enemy Within (Your Wallet)
A large number of people who file for bankruptcy are doing so to escape credit card debt, but what concerns analysts about the last year is that credit card debt has risen as bankruptcy filings have dropped. Projected to rise eight percent over the course of 2014, mounting credit card debt could signal the start of an uptick in people looking to unload some of their financial burden.
As the economy in Arizona continues to regain its footing following a long recession, people’s faith in their own situation strengthens, leading them to possibly spend more than their budgets will comfortably allow. “Putting it on the plastic” for impulse purchases seems harmless, but when your credit card charges exceeds your cash flow, it is only a matter of time before you are heading down a slippery slope of debt.
If the Pressure from Your Credit Card Debt is Climbing, You Have Options
While credit can be a wonderful tool, it can also be a dangerous trap; creditors do not offer you credit if they do not anticipate making a significant amount of money off of your spending. If you are overwhelmed with your credit card debt, you do not have to sit back helplessly. The Arizona bankruptcy attorneys at Curry, Pearson & Wooten can help you form a plan to restructure your debt and start fresh—speak with a lawyer by calling 602-258-1000 today.