People learned valuable lessons during the economic downturn, now is the time to put those lessons into practice.
Baltimore, MD (Vocus) September 20, 2010
The National Bureau of Economic Research, an independent group of economists, released a statement yesterday saying economic data now clearly points to the economy turning higher last summer. The NBER is tasked with defining the length and durations of economic downturns.
That makes the 18-month recession that started in December 2007 the longest and deepest downturn for the U.S. economy since the Great Depression.
In its statement the NBER acknowledged that a second recession is possible, but said "The committee decided that any future downturn of the economy would be a new recession and not a continuation of the recession that began in December 2007. The basis for this decision was the length and strength of the recovery to date."
The committee that made the finding said it "did not conclude that economic conditions since that month have been favorable or that the economy has returned to operating at normal capacity." But, the NBER said the economy has been steadily growing since June, when it officially hit bottom.
Persels & Associates lawyers represent consumers with the goal of negotiating affordable settlements with their creditors. Persels & Associates also assists the consumer if legal issues arise during the course of the representation. Persels & Associates has been on the front lines with consumers during what we now was the largest economic crisis since the Great Depression and here’s what we found consumers learned:
Owing too much is definitely not a pleasant situation. Many consumers fell victim to slick marketing from credit card companies and became lured into using their credit cards like a loan. When the rates rose, or tough times hit, these consumers, many of whom had medical and student loan debt on their credit cards, faced huge financial hurdles.
Eliminate Debt: Credit card debt can be a major problem. While not everyone has a credit card, those that do typically carry a balance. The interest rate on a credit card balance is usually between 10-30% APR. These high interest rates make it difficult for people to pay down their debt -- especially if only making the minimum payment. In fact, just making minimum payments can make even the smallest balance over a decade to pay off and thousands of dollars in finance charges.
Save Money: Consumers learned the hard way that saving for a rainy day is crucial for peace of mind and financial protection. We now know, no matter how long the sun shines, rainy days ALWAYS come. Consumers should put away some money each month and watch it grow!
What is really important: The economic crisis affected everyone. Consumers report that the large amounts of unsecured debt caused stress in jobs, marriages and with children. The good news is that now that we know money does not buy happiness, we can take that knowledge and as we build more financial reserves we can enjoy the things we now know are the most important.
About Persels & Associates
Persels & Associates, LLC and its predecessors are pioneers in the field of offering "unbundled" legal services to individuals who cannot afford traditional legal services. As Americans credit debt rose, Persels & Associates bridged the "gap" between consumers and their debtors. Today Persels & Associates employs over 150 lawyers in the 47 states and has 25 central office staff attorneys with 50,000 clients. For more information visit http://www.perselsandassociates.com