{
  "id": 694337,
  "title": "Credit card balances just rose by $21 billion. Here's how to get your debt forgiven now.",
  "url": "https://urgent.news/2026/08/12/credit-card-balances-just-rose-by-21-billion-heres-how-to-get-your",
  "topic": "world",
  "section": "World",
  "published": "2026-08-12T19:31:36.000Z",
  "source": {
    "name": "CBS News",
    "slug": "cbs-news",
    "url": "https://www.cbsnews.com/news/credit-card-balances-rose-21-billion-how-to-get-debt-forgiven/"
  },
  "original_language": "en",
  "account": "As of the latest Household Debt and Credit Report from the Federal Reserve Bank of New York, credit card balances have increased by $21 billion, reaching a total of $1.26 trillion. This rise can be attributed to the high credit card interest rates of around 22%, and the compounding interest once the grace period ends, making it difficult for borrowers to manage their debt.\n\nBorrowers facing high credit card debt can explore credit card debt forgiveness, also known as debt settlement, as a potential solution. This process can potentially forgive 30% to 50% of the debt, providing much-needed relief. However, not every borrower will be eligible for this program.\n\nTo qualify for credit card debt forgiveness, borrowers generally need to demonstrate a high debt load, typically $7,500 or more. However, even if the debt is smaller, being consistently 60, 90, or 120 days past due can also increase the chances of qualifying for a forgiveness program. Creditors may be more willing to work with borrowers who are behind on payments, as they can secure a lump sum payment for a reduced amount instead of risking receiving nothing at all.\n\nIn addition to a significant debt load and a history of missed payments, borrowers must also provide documentation demonstrating an inability to pay as agreed. This documentation may include proof of financial hardships such as illnesses, job losses, or other life events that have impacted their financial situation. Gathering this evidence in advance can expedite the qualification process and help borrowers regain their financial independence.",
  "summary": "Credit card balances rose again in the second quarter of 2026. Here's how to get your debt forgiven right now.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}