A number of credit card companies are reporting high rates of charge-offs. A charge-off is a loan that the creditor has determined it will not collect. Overall, the charge-off rate rose to its highest point since 2012’s second quarter and was reported at 3.82% for the first quarter of 2019. This according to data gathered by Bloomberg Intelligence. People in Tennessee who are struggling to pay debts may take solace in the fact that they’re not the only ones.

According to the CEO of Capital One Financial Corp., which is the third-largest credit card issuer in the country, certain customers have gone through a credit quality degradation. Because negative credit events from the financial crisis have begun to disappear from consumers’ credit reports, the credit card issuers may have incomplete information in some cases.

Capital One reported its charge-off rate for the first quarter of 2019 was 5.04%, up from 4.64% for the last quarter of 2018. Discover Financial Services, issuer of Discover cards, said its charge-off rate for the first quarter of 2019 was 3.5%, up from 3.23% for the last quarter of 2018. The CEO of Discover said the country is in one of its longest periods of recovery, so credit card issuers have generally been tightening down their credit issuance policies.

People in Tennessee whose income is not sufficient to cover credit card debt payments might want to schedule a consultation with a lawyer. A lawyer who practices bankruptcy law might be able to help by examining the client’s financial situation and suggesting options for debt relief. In many cases, a debtor may be able to get rid of his or her debts in a Chapter 7 or Chapter 13 bankruptcy and still keep important assets like the family home, necessary motor vehicles or tools of the trade.