Hardships are the real reason households have credit card debt: New bankruptcy law unfairly targets consumers who need credit cards to survive

DTS Financial is working to educate the public about how hardships add to the credit card debt they already have. The new Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 has sweeping implications in regards to consumers who are right at the edge of what they can afford to pay.

Moorpark, CA October 28, 2005 -- Although the new bankruptcy law is worded toward consumers who abuse their credit privileges, it is the unfortunate households that suffer the most. According to the new study “The Plastic Safety Net” by Demos and The Center for Responsible Lending, “One out of three households reported using credit cards to cover basic living expenses on average four months in the last year.”

“We want the credit card industry to know that all of our clients have suffered a hardship. Whether it was a divorce, a medical condition, or a loss of a job, all of these events could potentially have pushed a family over the edge. Now with the new bankruptcy law, traditional bankruptcy alternatives have dried up,” states Dan Smith, President and CEO of DTS Financial www.DTSfinancial.com.

The findings by DTS Financial were backed up by the “The Plastic Safety Net” survey. The Demos survey found that, “Households that experienced a layoff or major medical expenses were more likely to carry higher relative credit card debt.” According to Dan Smith, “We also want the public to know that there is a light at the end of the tunnel. That light is our Debt Settlement process.”
Most consumers think that credit counseling and/or debt consolidation are the only options that are available. The new bankruptcy law is going to make it tough for credit counseling firms to stay in business. The debt consolidation industry is comingunder scrutiny due in part to their predatory lender practices. The debt settlement process, such as the program at DTS Financial, is rapidly becoming the preferred choice among discerning consumers.

For additional information on the news about the subject of this release, contact Keith Baldwin or visit www.DTSfinancial.com.

About DTS Financial
DTS Financial Group, Inc. (www.DTSfinancial.com) provides consumers with a solution to credit card debt through their Debt Settlement Program. Based in Moorpark, Calif., DTS Financial is a member of the BBB, has more than 2000 clients nationwide, and has settled more than $20 million worth of consumer debt.




About the author:
Keith Baldwin
DTS Financial
www.DTSfinancial.com



Written by: Keith Baldwin