If you’ve run up a mountain of credit card debt, you may be wondering what happens if you don’t pay it off. While credit card debt is always the borrower’s responsibility, there are times when lenders make it seem more complicated than it is. Here are some tips for avoiding bankruptcy in your credit history. If you’re concerned about your debt, you may wish to speak with a financial planner.
First, you should pay your bills on time. If you can, automate your payments and set up reminders so you don’t forget. Paying down your balances and reducing your credit utilization rate can also boost your credit score. But beware! Unpaid debts can ruin your credit. So, it’s best to pay off your debt as soon as possible. And, don’t let the temptation to spend your money to the point where you can’t make your payments.