What should I do if I cannot afford to make credit card payments?

If you cannot afford to make credit card payments, the first and most important step is to contact your credit card company. Explain your situation and ask them for a payment plan or other relief. Depending on your credit card issuer, they may be willing to work out a payment plan to help lower your monthly payments or give you a break on interest for an agreed-upon period of time. If you cannot come to an arrangement with your credit card company, you may have other options. In Minnesota, the Office of the Attorney General has a program called the Credit Card Dispute Resolution Law. This program provides assistance to consumers who have had difficulty making payments on their credit cards. The program provides mediation and other forms of dispute resolution between consumers and their credit card issuers. You may also want to contact a financial adviser or a credit counseling service. These professionals can help you understand your options and evaluate how to best resolve your credit card debt. They may be able to suggest debt consolidation, credit counseling, or a debt management plan to help you reduce your debt and make payments more manageable. Finally, if all else fails, you may be able to file for bankruptcy. Bankruptcy can be a last resort option to help you get a fresh start on your financial life. However, understand that filing for bankruptcy will stay on your credit report for seven to ten years and can have long-term effects on your financial future.

Related FAQs

What should I do if I'm being sued by a credit card company?
What is debt settlement and how does it work?
What are the federal laws governing credit reporting?
When should I use a credit freeze?
What types of credit card practices are prohibited by the Truth in Lending Act?
How do I dispute a charge if I cannot remember what I purchased with my credit card?
What is a credit freeze?
How do I stop debt collectors from calling?
Is it possible to negotiate with my credit card company?
What is the statute of limitations on credit card debt in my state?

What should I do if I cannot afford to make credit card payments?

Related FAQs

Related Blog Posts