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Fighting different debt traps in Tennessee via debt relief

Personal debt could be anyone's problem, whether they have a lucrative career or are just earning enough to pay for their living expenses. Most families in Chattanooga, Tennessee, are on the same page with debt issues, especially for those who enjoy swiping their credit cards for every purchase, not realizing that this is presenting them with financial challenges. Under such circumstances, getting out of debt is the ultimate solution. Unfortunately, doing that may not be that easy with some of these debt traps.

One of the more common debt traps is the credit card rewards trap, where the credit card user enjoys more perks, free trips and cash back if he or she purchases more. But before the consumer realizes it, the freebies actually cause them to raise their credit card debt. Instead, consumers may want to seriously consider whether they will be able to pay monthly credit card balances before opening an account.

Secondly, the "looking my best" trap attracts people who follow the latest fashions and trends. Clothes are a necessity, but swiping the credit card for these items just because someone wants to look good and be trendy might be a waste.

Some people think that having the latest car model is a great opportunity because of the monthly payments and terms. Unfortunately, paying for another car may take a huge bite out of the buyer's monthly income. Paying for a new car via monthly payments accrues additional interest charges as well, which can sink the monthly budget and create more financial stress.

Fortunately, when debt traps entangle someone, there are debt relief options available. Personal bankruptcy, like Chapter 7 and Chapter 13 bankruptcy, loan modification and debt settlement are among the options that can help a Tennessee resident reclaim their financial life and get out from those debt traps. It can also allow a consumer to stop worrying about harassment from creditors and help them pursue their long-term goals without worrying about personal debt.

Source: Huffington Post, "5 Frustrating Debt Traps and How to Avoid Them," Benjamin Feldman, March 18, 2014

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Kenneth C. Rannick, P.C.
4416 Brainerd Road
Chattanooga, TN 37411

Phone: 423-954-7180
Phone: 423-624-4002
Fax: 423-624-0509
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