Many people in Oregon are struggling with a growing debt burden because they are unable to pay off their credit cards every month. Analysts advise that credit card debt can be particularly dangerous to carry over a long period due to the high interest rates that come along with it. According to some economists, up to 82% of credit card balances are carried for over one month, often turning into long-term debt. The problem isn’t restricted to those with poor credit; even those with high credit scores often carry a balance.

Those balances may persist for a long time, especially as accumulating interest makes them more difficult to pay off. Around 70% of balances that are carried from month to month remain for at least a year while 55% remain as debt for at least two years. People often pay up to 28% interest rates on their credit card balances, even though they may have been initially enticed to sign up for the card due to a lower introductory rate. According to one survey, people with outstanding credit card balances spend more on monthly luxuries than those who pay off their bills at the month’s end.

On the other hand, these small luxuries may not fully reflect a person’s lifestyle or access to wealth over the long term. Despite positive economic reports, U.S. consumers owe twice as much in credit card debt than they did one decade ago, and charge-offs have reached their highest point since 2012, meaning that more debt is becoming truly unrepayable.

People who are struggling with insurmountable credit card debt may wonder about their options. A bankruptcy lawyer can provide guidance and advice on Chapter 7 or Chapter 13 bankruptcy as a means to find debt relief and a new financial future.