Debt relief is being talked about a lot in the US.
Some people say that there is not even a single program on the radio or the television that does not talk of debt relief.
That has left most people wondering as to what is debt relief all about.
Credit cards have been one of the most popular financial instruments in the US.
Traditionally most of the spending on consumer items by US citizens has been on credits.
The only bad part about these cards is they encourage you to get into debt and stay in it forever.
The recession has put both, the creditors and the holders of credit cards in trouble.
The creditors are in trouble since most of the credit companies are on the brink of bankruptcy.
If a large number of customers declare bankruptcy they will have a lot to loose.
On the other hand bankruptcy is also a bad proposition for the debtors also.
The customers declaring bankruptcy will get into the long process of liquidation.
At the end of the day they will not even be able to obtain a credit card for many years after declaring bankruptcy.
Therefore card owners need to find some means of debt relief.
The government has announced stimulus money to the credit car companies to prevent them from going bankrupt.
This money is being used by the credit card companies to offer immediate relief and waivers with credit card debts.
The companies are offering a waiver of 40 to 50 percent of your net outstanding.
In order to qualify for debt relief a credit card user has to have a debt of $10,000 or more.
For the debtors this is an option much better than bankruptcy.
It will not hurt your credit score.