Summary of When You Are Overwhelmed by Debts

Bottom line? Do what you can to keep up with your debts.

Different debts have different effects on your credit and your finances. If you are in a prolonged and difficult financial situation, it certainly can’t hurt to contact a creditor or lender and explain this to them. Many of them will work with you to craft a means of repayment; the alternative can be a lengthy legal fight and lost money. The results on your end will usually always be negative, however: a bad credit score and difficulty getting loans or services in the future. Weigh your options carefully, and seek consumer credit counseling if need be.