Arizona Credit Card Debt Resource Center
Credit card debt is a dangerous spiral that can devastate your finances. If you are struggling with credit card debt, you likely have many unanswered questions and are looking for relevant information to help you overcome your debt.
We understand how much of a toll debt can take on your personal and professional life. The Arizona Credit Card Debt Resource Center is designed to help you answer the many questions that you may have regarding credit cards, credit card legislation, reducing your debt, and more. We hope that by providing this information free of charge, visitors will be able to find the information they need to move toward a more secure financial future.
Credit Card Debt Facts
Many Americans are plagued by credit card debt. The total amount of consumer credit debt in the United States totals $962 billion, or more than $8,000 for each household in the United States.
The average American cardholder possessed 3.5 credit cards in 2008. As of 2009, there were a total of 576.4 million credit cards in circulation.
Over one-third of individuals with more than $10,000 in credit card debt make an annual income of less than $50,000.
Credit Card Protections for Consumers
In 2009, Congress passed the Credit CARD Act to provide greater protections to cardholders. The act intends to limit devious practices by the credit card industry to help prevent an increase in personal debt. Some of the protections in the act include:
- Companies must give cardholders at least a 45 day notice before increasing interest rates or making significant changes to a contract.
- If a cardholder's interest rate is increased, he or she may close the account and pay off the remaining balance at the current interest rate.
- Bills must be sent out at least 21 days prior to the due date.
The following provide further information on the Credit CARD Act:
Consumer Bankruptcy Laws
One option available to debtors who have amassed a large amount of debt is to file for bankruptcy. An individual can file for consumer bankruptcy under Chapter 7 or Chapter 13 of the U.S. Bankruptcy Code. To learn more about the types of consumer bankruptcy and to see if you are eligible, visit the following resources:
Credit Counseling and Filing for Bankruptcy
Most people who file for bankruptcy, with a few exceptions, must receive credit counseling before they may file for bankruptcy. The resource below provides further information on this government-mandated requirement: