Credit card debt continues to rise. According to recent Federal Reserve data, revolving consumer credit increased at an annual rate of 2%. Non-revolving credit increased by more than 7%. Here’s the good news: if you’re struggling to pay down credit card debt, you can negotiate more favorable terms.
Ask for a payment plan . Some consumers don’t realize that many credit card companies offer hardship payment plans. These plans come in handy if you’ve experienced a significant financial setback such as job loss or divorce. A hardship agreement will allow you to make lower monthly payments. Also, some creditors will lower or suspend your monthly interest rate while you’re participating in the plan. However, there are some pros and cons to these plans. Read more here.