credit card debt | bankruptcy lawyer in memphis tn

How credit and credibility go hand-in-hand

By: Darrell Castle



According to Merriam-Webster

creditnoun – money that a bank or business will allow a person to use and then pay back in the future

credibilitynoun – the quality or power of inspiring belief


As a Memphis bankruptcy attorney, I see clients in my office daily who are living beyond their means. They, like many other Americans, are extending their lifestyle by 30-40% of their income and not even thinking twice about it.

How? By credit.

The problem lies in the amount of credit people use.

According to NerdWallet, as of April 2014, the current average US household’s credit card debt exceeds $15,000. Being the average, this means they’re most-likely many Americans far-surpassing that $15,000 number.

That’s a lot of money to be responsible for paying back, so many people don’t, which with high interest rate credit cards, puts consumers deeper and deeper into debt and more unable to pay it back.

As your credit card debt grows along with your inability to pay it back, you lose credibility with creditors, and this reflects in your credit score.

Why should you care about your credit score? Because it plays a big factor in life’s biggest purchases, such as a home, car and even your home utilities.

The higher your credit score, the more affordable all of those purchases can be. A higher credit score means not only approval for loans, but also approval for loans with lower interest rates. However, with a low credit score, you may struggle to even be approved for home or car loans, and if you are, you’re most-likely going to pay higher interest rates which will cost you more money over time.

This is why it’s important to maintain credibility with your credit. You do so by using your credit responsibly, and if you have any doubt in your ability to do so, just stick with a debit card.

Basically, you shouldn’t spend money you don’t have on things you don’t need. It’s a recipe for debt.

But, many people do fall in debt, and luckily here in America, we don’t have to live enslaved to that debt and are offered a second chance to make things right financially.


By filing for bankruptcy, you can discharge your debt through a Chapter 7 or lump it all into an affordable 3-5 year repayment plan through a Chapter 13. After the process is complete, you have a clean slate and a fresh start to spend your money the right way. As a well respected bankruptcy law firm Memphis, TN counts on, we can help guide you through your financial difficulties.

At Darrell Castle & Associates, we not only want to help you get out of debt through the bankruptcy process, but we also want to help you build off it. We do this by offering you access to a great 14-week program called “7 Steps to a 720,” that will teach you how to re-establish and rebuild your credit the right way. This program is $1,000, but we pay for it ourselves and offer it free to our clients.

If you have any questions or if you’re considering filing for bankruptcy, you can speak to one of our experienced Memphis bankruptcy lawyers, free of charge, by filling out the “Get in Touch” form at the bottom of the screen, or by calling us at (901) 327-2100.

You’ll be glad you did.

The decision to file for bankruptcy may be a tough one, but with Darrell Castle & Associates, the process is easy.