Over the last few months, there have been numerous signs that a credit card debt crisis could be looming, including an uptick in late payments and maxed-out card accounts. And, a report from the Federal Reserve Bank of New York shows that severely delinquent card debt recently hit levels not seen in over a decade. According to the report, the proportion of credit card debt classified as severely delinquent — or more than 90 days overdue — surged to 10.
That way, if a credit card issuer agrees to your offer for a lower lump-sum settlement, you can pay it quickly and in accordance with the offer terms. You should also be sure to get any debt settlement agreements in writing before making payments.Enroll in a debt management planDebt management plans are structured repayment programs that are typically administered by credit counseling agencies.