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Credit Card Debt Accompanying COVID

woman opening empty wallet

While before COVID there were many concerns about credit card debt, and especially regarding historical rises in consumer and household debt, nothing could compare to the shock and all the challenges that came along with the viral pandemic. US citizens were particularly hard hit due to the unemployment of tens of millions, extreme financial duress, and of course all the health repercussions erupting.

Medical debt and credit card debt began to collide for many consumers. While it is important to understand that medical debt was already a huge problem in the US and the number one reason for filing for bankruptcy, the problem has been amplified due to so many patients being left with crushing bills. Along with that, many individuals were forced to use credit cards as an alternative form of income just to survive. In the case of illness, that may have included using credit cards for necessary bills, groceries, and even medical-related bills such as co-pays, prescriptions, and even medical procedures.

Credit card debt can be easy to take on but very difficult to spin down. If you are still suffering financially after dealing with the ongoing issues set in motion during spring of 2020, speak with an attorney from Fitzgerald & Campbell, APLC as soon as possible to discuss your options in terms of dealing with getting rid of debt. If you are are being sued, it is imperative that you work with your attorney in responding to the summons and complaint you received. In most cases, 20 to 30 days is given as a timeframe.

Without any response to a collection lawsuit, unfortunately, you make yourself very vulnerable to a default judgment. This type of action is to be avoided—and in most cases even if you do not think you have anything to take. Because a default judgment is good for ten years in California from the outset, and then can usually be extended for another ten, you could be looking at two decades of creditors chasing you quite aggressively to see debts satisfied. Along with that, creditors and debt collection agencies are given the power to garnish wages if possible (up to 25 percent of your disposable income), see personal property seized and sold off at auction, and take control over financial accounts.

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 issuesbankruptcy, 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

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