Getting out of Debt in North Carolina: North Carolina Debt Relief
12 MIN READ
Published March 30, 2023 | Updated May 04, 2023
In a Nutshell
In North Carolina, many people are experiencing extreme stress because they’re in debt, whether they’re living in Charlotte, Greensboro, or Raleigh. If you’re wondering how to escape your credit card debt or other unsecured debts, there are plenty of ways to do so. The average credit card debt that residents in North Carolina have is $5,832.
Because many North Carolina residents have debt from several different places, it seems complicated to get out of debt. It isn’t so hard, though, and to help, we’re going to discuss how you can achieve debt relief in the state of North Carolina.
North Carolinians are in Debt; let’s Get Out of Debt with TurboDebt
It seems like every American is struggling with debt in some capacity, so it’s no surprise that residents of North Carolina have a hard time getting out of debt. If you’re in North Carolina and you have debt, you’ve come to the right place.
Today, we’re going to discuss a few ways that many North Carolinians can receive debt relief. We’re also going to discuss some statistics that reflect how much debt the state is really in. By the end, you’ll feel more emboldened to start working toward a debt-free life.
Debt and Finance Statistics in North Carolina
Average Consumer Debt
Average consumer debt factors in the amount of debt for auto loans, payday loans, student loans, mortgages, and credit cards. In North Carolina, the average amount of consumer debt is $87,160. This number raised from the past year by around 3.3%. Per this figure, North Carolinians are in a lot of debt.
Credit Card Debt
North Carolina residents have around $5,832 in credit card debt. It is easy to rack up credit card debt, so this number can be hard to repay, especially if you have other bills that are required of you. When you can’t pay the upfront fees for your credit card, you’re going to end up accruing debt.
Auto Loan Debt
As time has gone on, more and more Americans have car payments that they cannot afford to pay upfront. In fact, the median auto loan debt in North Carolina is currently $20,121.
Mortgage debt occurs when you purchase a home that you cannot buy in full. In North Carolina, many people have mortgage debts, and the average is $162,520. The average home price in North Carolina is currently $189,900, and you’ve got to pay your mortgage to avoid foreclosure.
Student Loan Debt
Although many people vouch for the importance of college, it cannot be denied that many people are leaving accredited colleges with frightening amounts of debt. 9% of North Carolina college graduates have debt, and the average amount of debt that these students have is $37,721.
Many people file for either chapter 7 bankruptcy or chapter 13 bankruptcy each year. In North Carolina, there were 6,188 filings in 2022.
Average Income and Employment
In North Carolina, the average individual income is currently sitting at around $34,209. In terms of the average household income, that number is currently around $60,516. Currently, the unemployment rate in North Carolina is 3.9%.
If you’re interested in a more sound financial future, one of the best ways to start is by improving your FICO credit score and credit score and your credit report. In North Carolina, the average credit score is 707. This is a pretty good score, as you should have over 670 points to be considered in the ‘good credit’ range.
Unfortunately, there are a lot of people out there who are trying to scam other people. In North Carolina, many people have fallen victim to those scammers because they have had their identities stolen. There were 31,609 cases of identity theft reported in 2022, which means there are a lot of scams you should be wary of happening to North Carolinians.
Banking and Tax Info
Currently, the sales tax rate in North Carolina is 4.75%. This number might vary depending on where you live in the state.
TurboDebt Can Help You Find Debt Relief in North Carolina
Although it might seem like debt is something that you cannot get rid of, TurboDebt is committed to helping you change your life. In 2022, we had 3,754 clients that we served from North Carolina, and in terms of those, we enrolled 1126 clients from North Carolina into debt relief programs. The average amount of debt these clients had was $21,410, and we were able to save them an average of 52.74% on their debts before fees.
Top Types of Debt to get Relief from in North Carolina
If you’ve just experienced a divorce, you’ve already lost enough. Many divorcees leave their marriage in a bad financial state. In North Carolina, the equitable distribution law is used to divide assets and debt. This law requires the judge to order property and debt to be split equally unless it is not equitable. Depending on your circumstances, this can be a burden on your finances. TurboDebt is skilled and ready to help you find relief from your divorce debt.
If you’ve started a business, there’s a good chance you took out a loan to get going. In North Carolina, business debt does not have the same protections that other debts have. The last thing you want is for your debt to prevent your business from success. TurboDebt can help business owners with any debt that they’ve accrued from starting their venture.
In America, many citizens have debts that result from medical bills, unforeseen accidents, and more. Around 23% of Americans living in the South, including those in North Carolina, have medical debt. North Carolina has a three-year statute of limitations on medical debt; however, during those three years, the debt can really hurt one’s credit. If you are struggling to pay off your medical debt, TurboDebt can help.
Credit Card Debt
Credit card debt can become consuming, especially with high-interest rates that continue to increase your balance. If you have credit card debt in North Carolina, you may be glad to hear that there is a three-year statute of limitations. TurboDebt can help you settle your credit card debt so that you can start building a positive financial future.
Mortgages aren’t always the worst kind of debt to have, but if you’re having a hard time paying your mortgage, then you might be in financial trouble. According to a recent survey, seven in ten Americans have a hard time paying their rent or mortgage.
In North Carolina, mortgage debt rose 14.2% from 2017 to 2021. The Tar Heel State ranks high in the country when it comes to defaulted mortgage debt. Helping North Carolina homeowners keep their homes is a top priority of TurboDebt.
If you’ve retired in North Carolina, then you’ve entered a new, exciting phase of your life. You shouldn’t have to worry about stressful debts during retirement. Fortunately, most debts in North Carolina have a three-year statute of limitations. If you’re struggling with debt during retirement, let TurboDebt help.
Debt Relief Options in North Carolina
There are five types of debt relief options in North Carolina; debt management programs, debt consolidation loans, debt settlement, credit counseling, and bankruptcy. Here’s what you need to know about each program:
Debt Management Programs
One of the worst things is having debt that you cannot afford to pay off because the monthly payments are too high. When you work with a debt management program to find a debt repayment plan, you’re going to be able to reduce the monthly payments that you have to pay toward your debt. This is much better than consistently missing your payments, and you’ll have lower interest rates.
Debt management plans help many Americans escape debt. In North Carolina, debt management programs utilize non-profit credit counselors working with lenders to reduce credit card interest rates. These programs are for people in North Carolina that have high-interest credit card debt.
Debt Consolidation Loans
Debt consolidation allows you to reduce all your debts to one debt. That means that if you have debts that are owed to several different lenders, a debt consolidation loan will allow you to put all your debts into one channel, so you only have to pay interest toward one balance. In North Carolina, debt consolidation loans typically have a lower interest rate than most high-interest credit cards, making them a good option for those with many cards.
If you owe a certain amount of money and you cannot foresee being able to ever repay it, then debt settlement services could take a large stress off your shoulders. With debt settlements and debt settlement programs, you’ll agree to pay a certain amount of your debt, and after you pay that, your debt will be forgiven.
So, if you owe $15,000, you might only pay $4000, and your debt will be forgiven after you create a payment plan. However, in North Carolina, there is a three-year statute of limitations on credit card debt. Debt settlement can take years and can damage a credit report for up to 7 years. Most North Carolinians will want to use debt settlement if they cannot keep up with their credit card interest and balances and need a solution.
Credit counseling is the process of talking to a professional in order to figure out how to best reduce your debt. Everyone’s situation is different, and a credit counselor will be able to explain to you what you need to do to get out of debt in the fastest way possible. There are nonprofit credit counseling agencies services in North Carolina.
When you’re in bankruptcy, you decide to get a court order to figure out how to repay your debts. Whether you liquidate your assets or have some of your debts taken away, the court will help you figure out how to start fresh. This is a good way to get debt collectors off your back. North Carolina has chapter 7 and chapter 13 bankruptcy, giving those with significant debt a way to breathe again.
Debt and Financial Hardship Resources
Temporary Assistance Programs
If you’re in need of assistance, North Carolina offers nonprofit organizations and emergency assistance programs, like the Emergency Assistance (Short-Term Financial Assistance for Families in Crisis) program. These programs have been vital during the pandemic.
State Health and Human Services
If you’re someone who has health problems and you don’t have healthcare, North Carolina offers some programs that might help your situation. For example, you might find that the North Carolina ePASS or the State Health Insurance Assistance Program is helpful.
Child care is important, especially if you’re someone who needs to work in order to pay your bills and debts. There are ways to get reduced child care in North Carolina, through programs like the Child Care Subsidy program.
Shelters For the Homeless
If you’re in a precarious situation, you might need to find a homeless shelter. There are plenty of homeless shelters in North Carolina, including Leslie’s House, South Wilmington Street Center, and Roof Above 1210 N. Tryon Street Men’s Shelter.
Free Transportation Services
One of the most important things is being able to get reliable transportation to work or to get medical care. If you don’t have a car or if you can’t afford public transportation, that might be a problem. If you’re in need, North Carolina offers transportation services like Medicaid Transportation Services.
Achieve Financial Freedom
North Carolina residents with debt should know that it is possible to live a life without debt. There are many scams out there that claim that they will help you reduce your debt, but you’ve got to be diligent to avoid getting your information stolen.
If you’re interested in working with a company that is devoid of scammers and false promises, then working with TurboDebt is the right choice for you. We can provide you with a free consultation, so for more information, contact us.