Sighting an American not facing debt problems is as rare as sighting a shooting star.
This is the reason why the government has offered generous debt relief to the average American.
Generous debt relief to Americans? When bulk of the seven hundred and eighty seven billion dollars stimulus package has been diverted towards credit card issuers and unsecured lenders, where is the question of the average American receiving relief? I bet you too fell for the grapevine and concluded that the government had not done enough with the stimulus package.
The stimulus package has been particularly harsh on small businessman.
The small businesses are the primary reason behind the growth of the economy.
This is true for not just America but any and every country in the world.
For the past few years, the small businesses have simply stop contributing to the employment percentage.
Further, the instances of bankruptcy in small businesses are rising.
In such a scenario, the government ought to have done something to overcome the debt problems faced by small businesses.
What is the primary source of capital for such businesses? Credit cards of course.
This means that any relief offered to credit card issuers can easily be passed onto the most important component of the American economy.
Right? That is a logic that the government has followed.
That is the reason why credit card issuers are now prepared to offer generous debt settlement deals.
This is easing the burden of small businesses.
A salaried individual may find it very difficult to manage debts even if it comes on by fifty percent.
However, small businessmen will definitely appreciate the move.
Why? A reduction in debt means the more cash will be left in hand.
This cash can be plowed back into the business to earn more profits.
As long as the monthly deposit in the escrow account is being made, there shall be no debt tension at all.
The conditions will be right for the small business man to focus on the growth and increase in profits.
Nine out of ten times, this is all that is required to help the individual overcome financial problems.
A few months ago, bankruptcy among some small businesses was very high.
This figure is coming down on a slow but steady basis.
The primary reason behind this is the generous debt relief options offered by the most prolific source of capital for small businesses- the credit card industry.