People in Texas may have options for defending themselves when sued by debt collectors. If a debtor takes no action to respond to a lawsuit, a judge will side with the plaintiff, who is the debt collector. The resulting judgment could give the collector the right to garnish the debtor's wages or seize his or her assets. To potentially prevent this default judgment, a debtor could demand that the plaintiff show documentation that proves the right to sue in the first place.
Many people in Texas have around three or four credit cards. A study by The Ascent found that, on average, millennials have three credit cards while baby boomers and Gen Xers have four. In all age groups, 1 in 10 people said they had six or more credit cards. There are advantages and disadvantages to having multiple credit cards.
Young adults in Texas and elsewhere in the United States are increasingly burdened by student loan debt, which is at an all-time high according to a leading consumer credit reporting agency. But millennials are also struggling with other types of debt, including credit card debt. While borrowers within this age group generally avoid credit cards, they're sometimes lured by appealing offers and perks.
People in Texas who are struggling with credit card debt might want to consider a personal loan to pay it off. It is not always necessary to have excellent credit to get a personal loan that has better repayment terms than the credit card. Another option is a balance transfer to a credit card that offers an APR of 0%.
While many young people in Texas and across the country used to be known for avoiding debt, a growing number of younger Americans are facing difficulties repaying their credit card bills. According to a report by the New York Federal Reserve, overdue payments are rising among Americans age 18 to 29. Because millennials came of age during the financial crisis of the late 2000s, many of them have been hesitant to embrace significant debt. However, young people are also entering high-paying professional jobs, and they may feel better placed to pay off their credit card bills.
For many people in Texas and across the country, treatment for a serious medical condition can be accompanied by financial disaster. Medical debt is a major burden affecting many Americans; it is one reason why people decide to file for personal bankruptcy. Even people with health insurance may face significant medical bills, especially if they require expensive prescription medications or specialized treatment provided by an out-of-network hospital. There are a few tips that people can keep in mind to help minimize their exposure to health care debt.
For people in Texas facing a serious medical diagnosis, debt may be a major concern. Medical debt poses a serious problem for far too many Americans, even those with health insurance. Around 20% of insured Americans continue to struggle to pay off medical debt. Many providers may be considered out-of-network, and the costs of prescription medication alone can skyrocket dramatically.
When individuals living in Texas file for bankruptcy, they typically do so because they need a fresh financial start. While most types of debts can be discharged in bankruptcy, there are a few exceptions. One type of debt that can be nondischargeable is a court judgment.
Texas residents who are struggling with unmanageable student loan debt might be able to get some relief if a proposed bill is passed by Congress. The legislation has backers from both the Republican and Democratic parties.
Credit card charge-offs increased to 3.82% in the first quarter of 2019, which was the highest rate since 2012. Capital One had a charge-off rate of 5.04% during that time period. Furthermore, the seven largest credit card companies said that the number of accounts 30 days past due also increased. When an account is 30 days past due, a write-off will be more likely in the future.