As Washington D.C. struggles with our nation’s debt, businesses and consumers are also taking on record amounts of private debt. Consumer credit for 2013 has hit already $3.04 trillion dollars with student loans rising a record 61% in the last three years
Total household debt is now $13 trillion dollars, while government debt sits at $15 trillion dollars. Many economists see the rise of consumer debt as a sign the economy is regaining strength. “In a moment of crisis, that’s going to come back to haunt you,” said Peter Cardillo, chief market economist at Rockwell Global Capital. “As long as you can support that debt through growth, it’s really not a major concern.”
However, many consumers do face real moments of crisis. Whether it is an unexpected illness, job loss, car wreck, or a tax bill, many consumers will default on their debt. In that instance, contact a qualified debt settlement attorney. A qualified debt settlement attorney will defend the consumer’s interests against the big banks and likely settle the debt for a large reduction in the balance owed.