Credit Card Debt Relief in Arizona

August 12, 2019 Jonathan Gavalas

 

 

Credit card debt Arizona

 

Do you live in Arizona and struggle with credit card debt payments? Credit Card Company can harass their customers with letters, lawsuit and calls when they fail to make payments on time.
You should know your rights. Under Arizona Fair debt collection laws, debt collectors are prohibited to use deceptive means when demanding payments. The statute of limitations on credit cards in Arizona is very creditor friendly.
Creditors are only allowed to file a debt collection law suit when the statute of limitations expires which is 3 years.

Understanding Credit Card Debt and Interest in Arizona

What to do if you have fallen behind on paying your credit card bills.
It is extremely crucial to know various debt relief options in order to live a debt free life. First and foremost, you need to learn how a credit card works. I would advise to pay off your balance in full each month to avoid accruing interest.
It is worth noting that credit card interest rates are higher compared with other loans. Each month, users of credit cards receives a statement detailing how much they have spent on the card and other information.
A user has 21 to 25 days to make payments.
Credit Counseling Services
Credit counseling services in Arizona are a good resources of information to help you solve your money problems. The councilors will want to know your financial status such as income and assets that you have.
Some of the people and organizations that offer credit counselling services include;
-Religious organizations
-credit unions
-Nonprofit agencies
-Extension offices
Some of these institutions can negotiate with your credit company or debt collector who can accept a reduced lump sum. They are capable of delaying court proceedings in case your credit company sues you.
Cut up or freeze the cards
One of the crucial steps in managing your debts is simply eliminating your credit cards. Do not make more purchases with them, instead, rely on your handy cash. You have to eliminate the cards by either cutting them or throwing them away.
They have to be out of your wallet so you don’t feel tempted to use them again. If it is possible, delete your card information from online stores. Many online stores are known to store card information of their customers.

Debt Relief in Arizona

There are several debt relief options for people struggling with high credit card debts. These options can help you to get rid of your debt or reduce it in an effective manner.
Credit cards are an efficient way to purchase items online if used correctly. If used in a careless way, they can cost you a lot of money and even take a long time to repay. Being deep in debt is very stressing.
There are different ways to achieve debt relief. Start with self-payment initiative before involving second and third parties in your financial crisis. You can negotiate with your credit card company or create a good plan to repay your debts.
Call your creditors and request them to grant you some concessions. Have documents to prove you are you are undergoing a financial hardship. Your credit card company might be forced to reduce your interest rates and give you much lower monthly payments.
Bankruptcy
This should be last ditch solution if you feel there is no way out of your financial crisis. Bankruptcy will cancel your debts and is also an effective solution to Arizona credit card debt cases.
However, it is a painful conclusion, which is confusing and emotionally devastating. You will have to inform your Credit Card Company, debt collector or judge that you are unable to your debts.
They will review your liabilities and assets before deciding on your fate. A court will stop repossession of assets if its finds you have no means of paying the debt.
Bankruptcy will also stop creditors suing you, making harassment calls or sending threatening letters that demand payments from you. A court can come up with a plan to pay your debts, like over 3 to 5 years or can sell some of your assets to pay the debt.

Arizona Debt Consolidation Tips

With debt consolidation, you take one loan to pay off all your unsecured debts. It is an ideal solution for people overwhelmed by credit card debts. The new loan usually comes with favorable payoff terms.
In other words, you can get lower monthly payments and interest rates with the new loan. Debt consolidation is also available for people living Arizona where they can take advantage of it to pay all types of debts such as student loan debts, credit card debts, just to name a few.
These types of loans are offered by credit unions, specialized debt consolidation service companies or other financial institutions such as banks. You will get 2 types of debt consolidation loans.
-Secured loan backed by an asset. They tend to have lower interest rates and a house, car or land is used as collateral for the loan.
-Unsecured loan are not backed by assets. They are characterized by high interest rates.