When a Louisiana consumer is unable to meet monthly financial obligations, it can eventually lead to overwhelming balances. Because of accumulating interest, this is especially true for unpaid credit card bills. After falling behind, it can seem impossible to catch up, especially if current circumstances are difficult. This is why many explore the option of a forbearance program.

These programs are offered by credit card companies, providing card holders with a certain amount of relief for a limited amount of time. Each program is different, but a cardholder may be able to delay payments or enjoy a lower interest rate. Companies may also waive late fees. This is a helpful option for those who have limited income or recently lost jobs. Nevertheless, there are some drawbacks to these programs.

In a period of delayed payments, interest can still accumulate. A cardholder may find that balances actually continue climb, leaving the consumer with a bigger financial problem than before. While a break or assistance is helpful, it is crucial to consider the long-term implications of applying for a forbearance program. It may only be a temporary fix, and on the other side could be an even more unmanageable financial situation.

Louisiana consumers may find it helpful to speak with an attorney before they make any decisions regarding a forbearance program. In some cases, filing for consumer bankruptcy may be a more reasonable way to deal with credit card debt. This option can allow a consumer to actually discharge certain types of balances, eventually obtaining a more stable financial future.