While the numbers regarding COVID-19 may be decreasing, unsecured debts like credit cards continue to rise as Americans search for ways to get by while unemployed or working significantly less hours than before. Homeowners and renters alike may be worried about how to make payments also, while many private student loan borrowers are left to struggle over massive debts without the type of relief federal student loan borrowers have been getting.
For those with little to no income right now, credit cards may offer temporary piece of mind as an alternative way to buy the essentials, pay necessary bills, or even cover larger expenses like medical procedures and prescriptions. Unfortunately though, large chunks of debt that Americans are dealing with may not be related to the coronavirus pandemic, but instead may be left over from months and years previous to that.
2020 left creditors and debt collection agencies hanging in the balance for months, being called off in terms of collection activity—but waiting in the background. The landscape of COVID-19 was uncharted for all. At first, there was little perspective on how long the coronavirus would threaten the US (and the world) and cause restrictions. Later, it became apparent that it would take some time for the economy to improve in terms of unemployment. If you lost your job, you could still be finding it unusually hard to get another.
Ethnicities are having a more difficult time, and more women have had to drop out of the work force to take care of families—not to mention the 140,000 women who lost their jobs in December.
“The economic recovery remains uneven and far from complete, and the path ahead is highly uncertain,” Federal Chairman Jerome Powell said recently.
If you are being sued by a creditor over something like credit card debt, contact an attorney from Fitzgerald & Campbell, APLC as soon as possible to plan a course of action. Replying to any lawsuit should be your first priority, and in most cases you have 20 to 30 days. Considering all the challenges over the past year, dealing with finances—or a lawsuit—may feel almost impossible; however, these problems won’t last forever. Seek expert legal help to find your way back to good financial health.
Speak with an attorney from Fitzgerald & Campbell, APLC as soon as possible to examine your options. Our attorneys have decades of experience in serving clients as they navigate through challenging financial situations, to include student loan issues, bankruptcy, and other debt management processes. We are here to help! Click here to schedule a free 30-minute consultation, call us at (844) 431-3851, or email us at firstname.lastname@example.org.