Credit Debt Settlement Programs - What Credit Card Companies Are So Worried About? (B)
Each year, a significant increase in the business and non-business bankruptcy filings is seen.
According to the stats provided by U.
S court, in 2009, almost 1,412,870 of the non-business bankruptcy filings were recorded.
This number was 23 times greater than the business related filings.
In 2010, this number increased by 14%.
This mounting increase in bankruptcy cases is going to ruin credit card companies someday.
In the past, they increased their interest rates in order to recover their money which they had paid to their customers but it adversely affected their economy.
Now, some companies have started slashing their interest rates.
They know that increasing interest rates will make their paying customers run away.
That is why they are looking towards credit debt settlement programs because they are the only hope for these companies and for their clients.
Although each year the number of credit card holders increases but at the same time, the count of credit card debt also increases.
Now there are millions of people who owe money to these credit card companies.
These companies have no other option than to settle debts through credit debt settlement programs.
These companies pay huge taxes to the government each year.
Similarly, they have to pay salaries to their staff.
It is not easy for them to run the business and keep on chasing their bad debt customers for too long.
Although they try their best to recover their money by sending their collection officers but this process does not continue for a long period of time.
Still there is a risk for these companies so it is better for them to sale the debts of their customers to the collection companies in less.
Now, it is up to the collection agencies how they recover the debts.
Credit debt settlement programs can be helpful in the initial stages when debts are with the creditors.
In this way, both debtors and creditors get relief through settlement.
This process saves creditors from total loss and debtors from filing bankruptcy.
In this regard, the government of United States is also helping creditors by making the procedure of bankruptcy more and more difficult and debt settlement easier.
According to the stats provided by U.
S court, in 2009, almost 1,412,870 of the non-business bankruptcy filings were recorded.
This number was 23 times greater than the business related filings.
In 2010, this number increased by 14%.
This mounting increase in bankruptcy cases is going to ruin credit card companies someday.
In the past, they increased their interest rates in order to recover their money which they had paid to their customers but it adversely affected their economy.
Now, some companies have started slashing their interest rates.
They know that increasing interest rates will make their paying customers run away.
That is why they are looking towards credit debt settlement programs because they are the only hope for these companies and for their clients.
Although each year the number of credit card holders increases but at the same time, the count of credit card debt also increases.
Now there are millions of people who owe money to these credit card companies.
These companies have no other option than to settle debts through credit debt settlement programs.
These companies pay huge taxes to the government each year.
Similarly, they have to pay salaries to their staff.
It is not easy for them to run the business and keep on chasing their bad debt customers for too long.
Although they try their best to recover their money by sending their collection officers but this process does not continue for a long period of time.
Still there is a risk for these companies so it is better for them to sale the debts of their customers to the collection companies in less.
Now, it is up to the collection agencies how they recover the debts.
Credit debt settlement programs can be helpful in the initial stages when debts are with the creditors.
In this way, both debtors and creditors get relief through settlement.
This process saves creditors from total loss and debtors from filing bankruptcy.
In this regard, the government of United States is also helping creditors by making the procedure of bankruptcy more and more difficult and debt settlement easier.
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