The Law Offices of Ronald I. Chorches

Wethersfield Office: 860-952-3878

Waterbury Office: 203-754-8000

Winsted Office: 860-952-3878

Hamden Office: 203-494-1700

Consumers should learn about debt management

The Hartford, Connecticut, area has consumers at the full range of income levels, from super-rich, to middle-class, to working poor. All of those consumers may run into credit problems from time to time, whether due to excessive spending or insufficient earning. When that happens, it is important for the consumers to know how long they will be adversely affected by those credit problems and the debt management strategies they can avail themselves of.

If you miss a payment that you owe, and are 30 days or more late, that is a delinquency and will stay on your credit record for seven years. It is good to avoid delinquencies in the first place by keeping track of when your bills are due and paying them early; however, if you do have a delinquency, the best thing to do is to pay it immediately. You may be able to get the company to which you owe the money to drop their late fee in return for you paying as soon as they agree to do so.

High credit utilization, using a high percentage of your credit limit, can also be a negative on your credit record. For that reason, it is best to only use 30 percent or less of your credit limit. If you use too much though, and then pay down your balance, the problem should be overwritten a month later since balance updates are sent to the major credit card bureaus by credit card issuers each month.

Account charge-offs, however, will be on your credit report for seven years. Account charge-offs happen when you fail to pay your debt to the person or entity to which it is owed in accordance with the agreement that you made with them. You can pay of that debt in full, or negotiate a settlement, which will preclude the risk of being sued for the money.

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The Law Offices of Ronald I. Chorches

Wethersfield Office
449 Silas Deane Hwy
Wethersfield, CT 06109

Phone: 860-563-3955
Fax: 860-513-1577
Wethersfield Law Office Map

Waterbury Office
One Exchange Place
21 West Main Street
4th Floor
Waterbury, CT 06702

Phone: 203-754-8000
Fax: 203-841-0304
Map & Directions

Winsted Office
487 North Main Street
Winsted, CT 06098

Phone: 860-563-3955
Map & Directions

Hamden Office
2558 Whitney Ave
Hamden, CT 06518

Map & Directions

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