No resident of Michigan wants to think about their identity being stolen. Unfortunately for some residents, this form of theft is a reality. Imagine, one day beginning to receive multiple calls from debt collectors with no understanding as to why. Once an individual checks their credit in this situation, they realize that multiple credit card accounts have been opened in their name that they did not authorize. In a situation such as this, overwhelming credit card debt becomes unmanageable quickly and bankruptcy can become an option for getting out of the financial hole.
Credit card debt can result from miseducation
Michigan residents can find themselves buried under a mountain of debt for a variety of reasons. In some cases, an unexpected job loss or illness leads to excessive credit card debt. In other scenarios, consumers were never properly educated about credit card use, and a poor financial situation snowballed into excessive debt levels. The following information is provided in the hopes of helping consumers avoid the pitfalls of credit card debt.
When medical debt mounts is bankruptcy an option?
Even those Michigan residents with excellent health benefits can still become lost in medical bills if serious or chronic illness strikes. Deductibles can be extremely high and co-pays can add up quickly. Thousands of dollars in medical expenses can build up in a short time. Excessive medical debt can force a person to make financial decisions that could lead to the situation getting worse, instead of better.
Collection agencies contact many in Michigan for medical bills
Not only can medical emergencies be physically debilitating and emotionally challenging, they can also be financially devastating for many people. In 2012, approximately one in every five adults had a collection agency contact them regarding overdue medical bills. This is about 41 million people, including many people living in Michigan. About seven million individuals had their accounts transferred to collections due to a billing mistake.
Foreclosure in Michigan can create devastating financial burdens
In some areas, the housing market seems to be on the incline. Unfortunately, for many people the improvement in the market comes far too late. Foreclosure is a looming reality for a lot of people in Michigan. In fact, foreclosure is such a widespread problem that even the Department of Defense has taken notice.
