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Credit Card Debt - What Happens If You Don't Pay It

You really didn't mean to. It didn't seem like a lot at the time, but several months later when you look at your credit card statement you realize you're in trouble and there doesn't seem to be a way out. Be honest. If you're like most people, the thought of just not paying your bill has crossed your mind. Before you dwell on this thought any longer, let's take a minute and look at what happens if you don't pay your credit card bill and a better way to handle this like debt settlement so that you avoid bankruptcy and you don't go delinquent on your credit card bills.

First of all, if you don't pay your credit card bills there are several unpleasant things that will happen like creditors calling, being reported to the credit bureaus, and legal action taken against you. You don't want creditors calling you at home and work. Even if they follow the legal guidelines, you will feel like you're being harassed. Next, you will be reported to the credit bureaus and negative marks will be made against your credit. Not good. The final resort your creditors will take is filing legal action against you such as garnishing your wages or putting liens against you. They don't like to do this because it is a lot of work, but they definitely will.

Instead of taking this route, why not consider credit counseling, debt consolidation, or debt settlement? You can check out reputable counseling agencies online and they will help you decide what your best option is to get you some debt relief. The first step will be to review your financial situation. If you don't have a huge amount of credit card debt, they will plan a budget for you and help you get organized so that you can make your payments on time and get the debt paid off.

They might also suggest credit card debt consolidation. This is accomplished by the agency taking your outstanding debts from different cards and either getting you a lower interest rate loan or a new credit card account with a 0% balance transfer fee and lower interest rates. They transfer all of your other accounts to this new account, close the other accounts, and then you only have one payment to make at a lower payment.

If you do happen to have a large amount of credit card debt, the credit-counseling agency might suggest that you try debt settlement. Again, the agency needs to do this for you. They negotiate with the credit card issuers and settle your accounts for a much lower amount. You can try to do this on your own, but you will have more luck if you use a professional to negotiate for you.

Given the negative things that will happen if you don't pay your credit card bill, it is advisable that you don't consider this as an option for debt relief and get professional credit card debt help to take care of your financial situation. This isn't a "fun" process either but is much better than having creditors calling, legal action, a bad credit rating, or even resorting to filing bankruptcy. 

Debra Proctor is the owner of   an informative site with helpful information to answer your most asked questions about getting credit cards. 

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