Georgia, America Struggle With Increasing Debt
With people still reeling from the Great Recession, bankruptcy filings are on a constant uptick. In Georgia, personal bankruptcy filings increased from about 50,000 in 2007 to nearly 77,000 in 2010, which is a 54 percent jump, the American Bankruptcy Institute reports.
That tells the story about why you should consult with Atlanta Debt Lawyers if your personal debt is growing out of control. Don't let it continue to mount until you are drowning in unpaid loans and credit card bills. Stop creditors from harassing you, your work and your friends.
AACER and the American Bankruptcy Institute noted that in 2010, Nevada led the country in bankruptcy filings, followed by Tennessee and Georgia. Nevada had 10.3 filings per 1,000 residents, while Tennessee had 8 and Georgia more than 7. Often it can be a job loss or a catastrophic health issue that causes bills to pile up. It's not always poor spending habits that lead to high debt numbers.
But regardless of the reason for the debt, many people right here in the Atlanta metro area need help. Atlanta bankruptcy attorneys can help. If you are behind on payments, are fending off calls from bill collectors or hanging on to your home by a thread, bankruptcy may be the process that eliminates many of your problems.
While bankruptcy isn't for everyone, the laws are set up to help people who are unable to get out from under the many forms of debt that can cause emotional and physical problems. Atlanta Chapter 7 bankruptcy may be best for you if you have few assets and low income and you're struggling to pay the minimum on your credit cards every month. But it's also possible that Chapter 13 bankruptcy works best if you have a large asset like a home that you want to save. Filing Chapter 13 bankruptcy in Georgia stops the foreclosure process and allows you to set up an affordable payment plan while still salvaging some of your assets.
Here are some shocking debt statistics from economywatch.com:
- The total amount of consumer debt in the US is nearly $2.4 trillion in 2010. That's $7,800 debt per person.
- Thirty-three percent of that debt is revolving debt (such as credit card debt), the other 67 percent comes from loans (such as car loans, student loans, mortgages and the like).
- $51 billion worth of fast food was charged to credit cards in 2006, compared to $33.2 billion the previous year.
- The average credit card debt per cardholder is $5,100, and expected to increase to $6,500 by the end of the year.
- 1 in 10 consumers has more than 10 credit cards.
- The average consumer carries 4 credit cards. While the average household carries $6,500 of debt.
- 1 in 50 households carry more than $20,000 in credit card debt. That amounts to more than 2 million households.
- 4.5 percent of cardholders are 60 or more days late in their payments.
- Roughly 2 - 2.5 million Americans seek the help of a credit counselor each year to avoid bankruptcy.
- On average, clients seeking financial counseling were $43,000 in debt. Of which $20,000 was consumer debt and $8,500 was revolving debt (such as credit card debt).
- By the end of 2010, there were 115,000 bankruptcy filings in California alone. Across the US, 1 in every 160 people filed for bankruptcy.
- The states with the highest credit card debts were Alaska ($7,665), Tennessee ($7,054) and Nevada ($6,517).
If you need to speak to an Atlanta bankruptcy attorney call the DebtStoppers Bankruptcy Law Firm at 800-440-7235 today for a free debt analysis.