Pennsylvania is the home of the Liberty bell and the birthplace of the Declaration of Independence. This city is also famous for its bustling cities and beautiful countryside. Although the city has much more to offer, its residents often struggle with debt. Increasing living costs and very expensive housing costs can make it very hard for the average worker in Pennsylvania to go ahead financially. Undeniably, the median credit card debt, that a normal household carries in Pennsylvania is surprisingly $3,711. However, this debt can lead to an unfortunate cycle of earning money, paying regular costs, and meeting minimum debt payments. So, what can you do to get Pennsylvania debt relief?
Debt Statistics and Laws in Pennsylvania:
Apart from that, Pennsylvania is one of the most expensive states in the USA; the average income of a single citizen is just over $2000. However, this figure is lower than the average across the country. In addition, Pennsylvania has close to a 7% unemployment and a 15% poverty rate among the people of Pennsylvania. The cost of living in the state is very high compared to the other states of the USA.
The citizens of Pennsylvania struggle with sky-high grocery and utility expenses. Compared to the national average, the people of Pennsylvania get around $600 less in credit card debt and have better credit scores. Pennsylvanians owe less than the national average in almost every type of debt except student loan debt. There are some specific Pennsylvania debt relief laws as well as collections that include consumer protections.
Pennsylvania Debt Relief Programs:
The American government is well aware of the financial troubles of residents of Pennsylvania. Therefore, they offer some essential programs for Pennsylvania debt relief. These programs help residents of Pennsylvania, who are looking for a fresh start. The programs that include debt relief are as follows.
Debt Settlement:
It is a process where a person will negotiate with creditors to agree on a settlement amount of their debt. Debt Settlement is a very useful program for getting back on track. It will also help a person to regain control of finance. So, to get a debt settlement, it is important to understand all the potential consequences and alternatives. However, it is also true that a Debt Settlement Company is so beneficial because it can save time and make you stress-free.
Debt Consolidation Loans:
The spending habit of residents of Pennsylvania easily lose track, and if they don’t correct it, they can lead to serious financial trouble. They are overwhelmed by seeing the promotions, overestimate a distantly promised bonus, or go crazy on their credit cards during their vacations. Of course, it is straightforward to end up with a myriad of various bills coming from an array of various credit card companies. So for the people looking to get ahead of that upcoming financial nightmare before it becomes the defining fact, combining debt promises is the best way out of the debt nightmare, known as Debt Consolidation.
Bankruptcy:
Sometimes it is the only Pennsylvania debt relief option, though usually only if all the other options are exhausted. There are two types of bankruptcy in Pennsylvania. One is Chapter 7 bankruptcy, and the other is Chapter 13 Bankruptcy. The most common form of bankruptcy is Chapter 7, in which 67% of Pennsylvanians filed for bankruptcy. The major aim of filing in this form of bankruptcy is to pay off the unsecured debt by liquidating a debtor’s non-exempt assets. On the other hand, Chapter 13 bankruptcy is for those who want help paying down debt but have enough income to make monthly payments.
Conclusion:
The cost of living in Pennsylvania is very high, which makes it very difficult for its residents to go ahead financially. However, some specific Pennsylvania debt relief programs will help them.
