Basically, when you aren’t able to pay the credit card bills, the credit card company imposes a huge amount of debts on you. This might make you think that the credit card company wants you to get in the debt and lead you towards bankruptcy. But, is it really a true fact! Actually, it is not. Actually, the credit card companies never want you to become bankrupt even though they want you to go through a huge amount of debts.
You must be getting surprised about the paradoxical nature of these credit card companies. Well, these are the most evil financial organizations which will lead you easily towards a huge amount of debts and thus generate profit out of that. But, at the same time, they would help you as much as possible so that you don’t become bankrupt. Why there is such a paradoxical nature of the credit card companies? Check the following discussion. You can surely get help from an online personal loans lender to improve your credit score.
Why the credit card companies do not want you to become bankrupt:
The credit card companies will never want you to become a bankrupt. And the reason behind this can be the following:
- Bankruptcy declaring you no longer eligible for the debts: when you are being filed as bankruptcy, you must know that you are no longer eligible in the eyes of the court to continue with the debt. And thus, the court would free you from the debts you have in charge of bankruptcy. And you can get discharged of it, when you will be prepared for that. That would also cost you much less than it is now! So, the credit card companies want money from you, not to get a reduced version of debt payment from you.
- Credit card companies must have to forgive you: when the court you declare you as bankrupt, the credit card companies are obliged to forgive type and wait for the court settled payment. Certainly, this is a huge loss of their capitalist way of making money. Such a loss is business is never acceptable and thus the credit card companies would never want a debtor to be bankrupt.
- Further challenge can cause a huge amount of hassle: well, the doors are not always close for the credit card company even of the debtor had been filed himself/herself as bankruptcy. There are procedures of denying this bankruptcy through filing petition and that would be a challenge towards bankruptcy. The challenge procedure might not derive with a positive result but cost the company with a lot of expenditure. So, this is a hassle for the company and certainly the company does not want to go through these.
So, these are the reason, the credit card companies would never want the debtor to be a bankrupt. In fact that would lead they go through loss in their business. And when the bankruptcy is knocking at your door, you have the option to go for a debt settlement with the company in order to reduce the debt amount