Insurmountable Debt: Today's Financial Crisis

8 in 10 Americans are in debt (Source: We all dream of achieving a debt-free lifestyle, but the unfortunate truth is that most of us will never get there.

However, having debt is not necessarily a bad thing. Car loans and mortgage loans, for instance, allow us to own cars and homes that we would never be able to afford if were limited to making out-of-pocket purchases. If you fall behind on payments, though, even "good" debt becomes a massive financial burden. If you or someone you know is struggling with delinquent debt, having a debt collections attorney on your side may be worth its weight in gold.

Debt In America - A Brief Overview

Americans are currently facing a debt crisis, with figures at all-time highs. Here are a few eye-opening statistics about the current debt level in America:
  • The total outstanding consumer debt is $3.4 trillion.*
  • 38.1% of households carry some amount of credit card debt.*
  • Student loan debt currently exceeds all other forms of non-mortgage debt.**
  • The average balance-carrying household owes $16,000 in credit card debt.**
  • The average balance-carrying household owes $27,000 in auto loans.**
  • The average balance-carrying household owes $48,000 in student loans.**
  • The average balance-carrying household owes $169,000 for mortgages.**
* Source: ValuePenguin
** Source: Slate

Debt's Downward Spiral

As we mentioned previously, manageable debt can be a good thing. It can even provide you with opportunities that may ultimately improve your financial situation. If you take on too much debt or if your financial situation changes, however, you may find yourself unable to meet all the required payments. If you aren't careful, this can become a downward spiral very quickly. If you miss a payment, you will likely incur late fees and interest that will be owed on top of your original payment. If money was already tight, paying these additional fees may be impossible, which may cause you to miss your next payment as well. Missing a second payment will incur more fees and interest, and the cycle can continue on from there.

Being Pursued For A Delinquent Debt

If you miss enough payments on a given debt, you will become "delinquent" and the creditors will likely take legal action to ensure they receive the funds owed to them. As consumer debt continues to rise, debt collections is becoming an increasingly lucrative industry. According to, it is currently grossing $15 billion annually (and still growing fast).

Even if you are being sued for a delinquent debt, you still have rights. Federal laws govern how debt collectors can go about pursuing delinquent debt, and if these strict guidelines are not met, a Lake of the Ozarks debt collections attorney may be able to help you prevail in your defense against the debt collector's lawsuit against you. A skilled attorney may also be able to help you negotiate a lower re-payment plan and ensure that your rights are protected.

O'Donnell Law Center Is Your Debt Collections Resource

If you are being pursued for a delinquent debt, contact O'Donnell Law Center. Even if the solution does not seem obvious to you, we may be able to help you build a solid defense. Mounting a defense against a debt collector is time-sensitive with strict deadlines, so we encourage you to reach out sooner than later. Give us a call at 573-552-0317 for more information.

We Carry Your Burden ~ You Carry On With Life.

Disclaimer: No attorney-client relationship is created by the publication of this blog.

The choice of a lawyer is an important decision and should not be based solely on advertising.

Phone: (573) 552-0317

O'Donnell Law Center, LLC
1026 Palisades Blvd. Suite 3
Osage Beach, MO  65065


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