Chicago Bankruptcy Attorneys Warn of Universal Default Clause

When my credit card debt was at its highest, I felt like the whole world was against me. And, technically, it kind of was. It's called universal default.

I made most of my payments on time. But as I put more debt on more credit cards, it became difficult to keep track of them all and I made a few mistakes. And creditors aren't exactly forgiving - if you're in debt, you probably know what I'm talking about.

I had opened yet another card to buy a computer and eventually missed a payment (one little payment) on that account. I quickly made it up - plus the astounding penalty - thinking I would be OK. But next thing I knew the computer account, my gas card, and my main credit card had all raised their rates.

My main card - the one carrying the bulk of my debt - went from an 18% to 35% APR. Even though I had never missed a payment on that account! So now when I made the same monthly payments, I was actually paying off less of my debt that before. It seems like it should be illegal, but it's not. It's listed in the fine print of most credit card agreements as the universal default clause.

Don't fool yourself into thinking creditors don't talk to each other. They do. They're all on the same side - united against you. I think maybe it was my anger that eventually motivated me to take my debt seriously. Here I was, handing off chunks of my paycheck to these companies every month, and it wasn't enough - they wanted more.

Are your rates at risk of rising because of a few late or missed payments? Are you tired of watching your paycheck go to creditors - before it goes to your family? You don't have to put up with it any longer! If you just can't seem to make a dent in your debt, bankruptcy could be the key to your financial freedom. Unlike credit counseling or debt consolidation scams, bankruptcy actually works because it eliminates your debt under the protection of the U.S. government. Once you file, creditors won't be able to take any more actions against you - no harassing phone calls, no lawsuits, no new penalties - so that you can figure out a repayment and/or debt discharge plan.

Wondering if bankruptcy is right for you? Why not find out for free. When you fill out our personal debt analysis form online, you'll get a complimentary appointment with a DebtStoppers bankruptcy attorney in Chicago or Atlanta to identify your best plan for debt relief. And you can always ask us questions, check out our website, videos and our blog at no cost.

Creditors might talk - but you have the power to silence them.

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