Post-COVID: Credit Card Debt & Private Student Loans
The past year has been tough for people everywhere. With a worldwide pandemic continually looming, there has been stress not just over health but also financial issues. Unfortunately, for many Americans, stress was already looming prior to COVID as consumer and household debt reached all-time highs—and although lenders were still continuing to lend, there were murmurs of an economic bubble about to burst. No one could have predicted what was about to happen, however, in the form of a virus which would cause enormous repercussions in the US.
Medical issues historically have been the number one cause of bankruptcy in the US, and it is expected that now that will be more true than ever. Along with medical debt though, student loan debt is of massive concern, along with foreclosures, evictions, auto repossessions, and more. If you lost your job, you may also have been forced to use credit cards as a new form of income. While it may not be an extremely prudent thing to do, desperate times have called for desperate measures for many.
Limits are maxed out all too quickly though, and if your debt situation seems to be escalating out of control, speak with a debt protection attorney as soon as possible. You may also be dealing with significant private student loans that make it challenging to handle basic bills like the utilities and groceries. While some federal student loan borrowers received a pretty good break over the past year, private student loan borrowers were left to struggle without any help from the CARES Act. The topic has been a huge focus throughout the nation, but still private student loans have been on the periphery as a fairly unregulated industry has been left to do as it pleases.
If you have recently been sued, the first step is to realize that you cannot go it alone. If you have been served with a summons and complaint, procrastinating could make the difference between dealing with decades of debtors chasing you or the path to financial freedom. Whether your attorney advises you to negotiate with a creditor or go forward to fight the lawsuit, it is important to act as quickly as possible. Without any attention to the matter, a default judgment could be granted against you quickly. The matter could be even more serious too if a private student loan servicer is suing you as they can be as aggressive as a more conventional lender like a mortgage company.
Have you experienced problems with your loan service provider or student loan program, or are you in danger of defaulting on your student loan? Contact Fitzgerald & Campbell, APLC now so one of our experienced student loan debt attorneys can review your case and discuss all the available options with you. 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 (855) 709-5788, or email us at email@example.com.
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