Remember that ceramic piggy bank you had as a kid? How you slowly filled it and had to get a new one each year? How, as a teenager, you picked up a Saturday job, and had enough cash for anything you needed?

What happened to that careful saver you used to be? Credit card companies, that’s what happened. They knew what they were doing when they gave you a credit card as soon as you went to college. Now, your piggy bank is empty, and you owe them money.

What can you do to deal with your credit card debts? Here are some options:

  1. Stop spending and start budgeting: This is where you have to start. Every little thing you buy soon adds up.
  2. Look for balance transfer cards: Credit card companies will offer lower rates of interest if you transfer your balance from another card. They hope you will end up owing them money, but if you are smart, you can use it to your advantage.
  3. Take out a loan: Loans are often available at better rates than what you are paying on your credit card. Again it helps prevent your debt from spiraling.
  4. Find more work: While many people have lost jobs recently, there is work available, especially online. If you don’t have the skills needed, consider learning them. Even if you do not earn a lot, you will be gaining new skills and experience, and reducing your credit card debt.
  5. Consider bankruptcy: Sometimes, you have to hold your hand up and admit defeat. Bankruptcy can allow you to clear your credit card debts and start anew.

If you need to know more about bankruptcy options in New Jersey, seek legal advice. Even if it is the last option on your mind, it may turn out to be your best one.