Arizona residents may have discovered during the recession that, in difficult times, it can be easy to accumulate credit card debt. In an online poll, one in five Americans said that they believed that having a balance on a credit card every month was a responsible way to manage finances. However, if a debt is constantly growing on a credit card, the owner may not be able to afford to maintain the card, making it harder to take out another line of credit elsewhere.


Not only could the consumer be limited in borrowing immediate funds for emergency situations, but a person’s credit score can be damaged by allowing credit card debt to go unpaid. There are a few things that unemployed or underemployed people can do to try to alleviate their financial difficulties.


The first suggestion from financial experts is to earn more money. As the holidays approach, consumers may want to consider taking on temporary retail positions while they search for more permanent career opportunities. It is also recommended that income earners put aside 10 percent of their earnings towards savings for emergencies.


Individuals with debt are advised to make themselves knowledgeable about what they owe and what they are spending. If after reviewing one’s finances it is determined that there is no feasible way of coming back from the amount of debt incurred, consumers may want to consider filing for personal bankruptcy.


Filing for bankruptcy could allow consumers to wipe the slate clean and start over with more responsible financial planning. If you are in Arizona, contact an Arizona bankruptcy attorney might examine the situation to determine whether filing for bankruptcy is the best option.


Source: US News and World Report, “How to Avoid Credit Card Debt“, Kimberly Palmer, September 25, 2013