Many consumers in Tennessee depend on credit cards for daily purchases. They swipe their card for everything from buying groceries to paying for medical expenses, and over time, this can lead to exorbitantly high balances. It’s hard to pay these off, and minimum payments don’t do a lot to bring the overall balance down. This results in accumulating interest and a debt burden that can feel unmanageable.
Generation X is a demographic particularly prone to carrying significant amounts of credit card debt. This generation includes people born between the years of 1965 and 1980, and they lived through varying difficult financial events in their lifetimes, including multiple recessions, job shortages, a housing crisis and more. As a result, people in this age group may rely more heavily on credit cards and carry a more significant burden of debt.
Because this specific group is closely associated with large amounts of debt, many refer to them as Generation Debt. This group has more credit card debt than other generations, a fact that is a huge concern as many of them approach retirement age. Statistics indicate that a person around the age of 50 has a credit card balance of around $8,000.
This is a huge financial burden, and many are unprepared and unable to make more than the minimum payment each month. This leads to accumulating interest and even higher balances. Thankfully, there are ways a person can regain control over these factors and regain a better financial footing. Some things a person who is in Gen X may want to consider include:
- Create a budget that makes sense, then stick to it. Allow room for regular credit card payments.
- Make regular payments that are more than the minimum balance on the credit card.
- Find ways to earn additional income, and use the money to pay off more of the credit card balance.
Every financial situation is different, and the right for a person from Gen X to deal with his or her credit card debt depends on the individual case. For some, it may make sense to file for consumer bankruptcy. This process allows for the discharge of certain balances, and the applicant will exit bankruptcy with a better financial future in sight. If you are struggling with your credit card debt, you may find it helpful to speak with an experienced attorney about your options.