Anyone who owns a credit card needs to understand the law. Even if you think this will never apply to you it makes financial sense to know your responsibilities should you not be able to repay your card balance. If this ever happens you could find yourself in a very serious position, especially if you allow your debt to spiral out of control. So how can you find out more about credit card debt law?
The Federal Trade Commission can help
The Federal Trade Commission is responsible for how debt is reported to the credit bureau. They hold a wealth of information relating to the laws surrounding your card. So if you would like to find out more information relating to the laws surrounding credit card debt they are the best organization to speak to.
What Options are Available?
If you do have credit card debt the Federal Trade Commission will often advise you of your options. These tend to fall into three categories which tend to cover most people's situation. The first option is to pay off all of your outstanding debt. Obviously, this can be difficult for many people, particularly if their outstanding balance is very high. The second option is to negotiate a debt settlement; this can be a preferred option as many credit card companies will give customers a number of months to repay what they owe. The third and final option is to file for bankruptcy, however this step should only be take in extreme cases.
One of the key areas of credit card debt law is that collection of any outstanding debt should be fair. This is covered in detail by the Fair Debt Collection Practices Act. This Act covers what steps your card company can legally take to recover outstanding debt. So if you are in a position where you are concerned about your debt, you should take a look at the information relating to this law as it can be very useful. Not only that but it can also help anyone who wants to know what their legal position in as any time.