A total personal financial crisis does not just happen. The journey toward a credit card financial meltdown does not come without warning. There are symptoms, warning signs and, “red flags” along the way. A consumer would be well advised to be aware of these warnings and make adjustments where possible. Seeking professional debt settlement or debt help most likely could be the best possible solution.

The warning signs of debt are:

1. Making only minimum payments:

Credit card companies have developed a business model that guarantees the maximum amount of profit for them.

They try to keep the consumer paying as long as possible. They don’t want their customers to pay off their accounts.

As long as the customer is paying the credit card company is making money. If a consumer is making only the minimum payment each month it will take years and years to pay off the account. Moreover, the consumer will pay substantially more than what the originally owed. It will take a consumer who owes $25,000 in total credit card debt and who only makes the minimum monthly payment a total of 56 years and 7 months to pay off the debt. The consumer will pay a total of $93,557.00.

2. Making payments late or missing payments:

Typically there is a reason why a consumer makes late payments or misses payments. The reason is lack of sufficient funds. The consequences for the consumer are devastating. Credit card companies tack on additional “late fees” and possible “over limit fees”. They may raise the interest rate and over time the consumer’s credit score takes a negative hit. Once a consumer starts falling behind it is usually difficult to ever catch up.

3. Taking cash advances to pay other bills:

This activity is systematic of a financial crisis. The reason a consumer might engage in this activity is the same as other symptoms. It is the lack of sufficient funds.

By taking cash advances to pay other bills the consumer falls deeper into debt with the credit card companies.

Credit card companies charge a higher rate of interest for cash advances.

4. Using one card to pay another:

Consumers who are using one credit card to pay another are simply digging themselves deeper in debt and are on the brink of a full blown financial crisis. In effect, they are paying “interest on interest”. Their monthly financial obligation increases and they increase the amount of their total credit card debt. The credit card companies love it.

5. Receiving collection calls and letters:

Once a consumer starts receiving collection calls and collection letters they are facing a financial crisis. At this point their options are limited. Most consumers find that receiving repeated calls and collection letters is very unsettling. In addition to the stress that the consumer is under due to the inability to pay on the accounts, the stress is magnified by the consumer having to deal with repeated calls and letters from credit card debt collectors. Although consumers enjoy some protection under the provisions of the Federal Fair Debt Collection Practices Act (FDCPC), bill collectors still have a great deal of latitude in making the life of a debtor difficult.

The downward spiral to financial ruin can be halted. As difficult and unsettling as unmanageable credit card debt can be, consumers can get credit card debt help. Without doubt, the safest and most effective kind of help is debt settlement or debt relief by a licensed attorney at law. Associated Attorneys, LLC can direct you to an attorney licensed in your state who can give you the professional help you need.

For more information contact Associated Attorneys, LLC at (866) 411-4693 or

www.AssociatedAttorneys.com.