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Is Your Credit Card Debt Larger Than Your Savings?

There’s nothing to be ashamed of if your answer to this question is yes. Believe it, you are not the only one with more credit card debt than actual savings in the bank or elsewhere. Yes, debt crisis in the United States is that bad.

According to an article that appeared in Times, 52% of Americans have savings that are larger than their credit card debt. This is pursuant to the latest survey conducted and released by Bankrate.com. If you think that that percentage is high enough, that is because you don’t know yet the figure in 2015. In that year, 58% of Americans had emergency savings that are more than their debts. This means that the number has gone down by 6% this year. Yes, 6% in just a year. That’s a pretty bad sign.

http://time.com/money/4233634/savings-vs-credit-card-debt/

Moreover, current statistics shows that one in four Americans have more credit card debt than actual money in the bank or emergency savings. The figures also show that 21% of Americans don’t have both: no emergency savings, no credit card debt. An earlier Bankrate survey found that only 38% of the population have savings enough to pay for emergency expenses that range from $500 to $1,000.

While there’s no shame in being trapped in a debt crisis, this is something that must be put to an end. It’s time to break off from this vicious credit card cycle. Free yourself from the high interest rates, penalties, and other fees. These only lead to more debts. If you are part of those struggling with credit card debt problems, do something about it. Be among the percentage with more emergency savings than debt. Contact a qualified debt settlement attorney and tackle credit card debt once and for all.

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Kevin Fallon McCarthy is the McCarthy Law PLC’s managing attorney and an experienced Phoenix debt attorney. Mr. McCarthy has also worked as general counsel for a large corporation. He has corporate counsel experience in human resource matters, general corporate governance, and union class action litigation.