Credit card

A credit card is a system of payment named after the small plastic card issued to users of the system. A credit card is different from a debit card in that it does not remove money from the user's account after every transaction. In the case of credit cards, the issuer lends money to the consumer (or the user). It is also different from a charge card (though this name is sometimes used by the public to describe credit cards), which requires the balance to be paid in full each month. In contrast, a credit card allows the consumer to 'revolve' their balance, at the cost of having interest charged. Most credit cards are the same shape and size, as specified by the ISO 7810 standard.

What to Consider when Filing for Personal Bankruptcy

By: Roy Barker

President Bush in April sign into law The Bankruptcy Abuse and Consumer Protection Act. This bill promises a lot of changes to law, and will make it more difficult for the average person in financial trouble to have debts detached with bankruptcy. Recent social and economic changes indicate that those considering a bankruptcy should do so now, as the queue is getting longer.

It will be currently be harder to file under Chapter 7 of the code, which allows the courts to wave customer debt and give the debtor a new start. Filings posted will be tested and those who have a polite income it seems will have to file under a more strenuous Chapter 13, which demands repayment by installment and the assistance of a lawyer. Now looming, bankruptcy filings are not only upper than they were previously, but are also higher than expected. Across the country, filings are considerably higher than last year, and some bankruptcy practitioners say that their business has improved dramatically.

To make it more confusing is another law, which require credit card companies to establish a payment schedule that permits customers to repay debts in amended installments. Since early year, most credit card provider has doubled their minimum payments. A regular person with say $12,000 in credit card debt will have approximate monthly payment increases from between $150 to $450, an amplify most people can ill afford.

This increase in bankruptcy filings have overwhelmed bankruptcy lawyers, who face a burden of being liable for fake information filed by clients once the new law takes effect. Certainly it just unwelcomes change. This additional liability, as one with the additional tasks, has prompted many lawyers to raise fees substantially over the same time as last year.

What does this mean for bad debt? From here on, bankruptcy filings will be extra confusing, complicated and expensive. The system is already overloaded with bankruptcy cases. If you suspect you're in the bankruptcy category, you must move on it now. Waiting even one more day could be too late.


A contribution from Roy Barker owner and publisher of www.bankruptcy-aid.coma resource for attorneys and anyone seeking information.