We here in U.S are on the brink of experiencing a credit epidemic. The sum of credit card debt is at an all time high and we are nearing what many consider to be a recession. Thus leaving a great number debtors with less money in there wallets and more bills that they have to pay on. In this writing I will go over the ups and downs of the various available systems of credit card debt relief.

Credit Counseling:

Pros- One monthly payment, lowered interest rates, fixed payment not minimum payment.

Cons- Takes a long time to pay off, not easy program to maintain, most do not complete program, hard to obtain mortgage on program, payments are not very low, one missed payment can result in being kicked off program.

Bankruptcy:

Pros- Upon qualifying for Chapter 7 full amount of debt is discharged, the collectors cannot call and harass.

Cons- Long term negative effect on future credit, lifelong public record, change in bankruptcy law made Chapter 7 very hard to qualify for, court ordered repayment process.

Credit Card Debt Settlement :

Pros- Great savings on debt amount owed, fastest way to get out of debt, not made a public record.

Cons- Temporary negative effect on credit, collection calls,small chance of being sued by creditors.

All of the above methods do have their respective pros and cons. However what really determines which method is proper for you really depend on the current monetary well being that you are in. For debtors swamped deep in debt but have money to pay a portion of it off then debt settlement would be the correct choice, to help avoid Chapter 13 bankruptcy. Those who have lesser debt amounts and have no problem making the payments they currently have plus more, than credit counseling is better. Then of course for some the only course of action is bankruptcy.