Do the banks get bailouts when people dont pay credit card debt?

Just out of curiosity, when people dont pay credit card debt, do the banks get bailed out? Many people default on credit card debt and dont pay or give only a settlement. What protections do the banks have when people do this?

Other answer:

Shantel C:
No, either the bank/lender takes the debtor to court, or takes the debt as a loss. However, if there was a situation where millions and millions of people defaulted on their debts; this could lead to a situation where a bailout is considered. This is what happened with the 2008 subprime mortgage crisis. When the housing market collapsed and home prices fell through the floor, this lead to millions of mortgage delinquencies and foreclosures and eventually a major devaluation of mortgage backed securities. This devaluation lead to massive losses and insolvencies and to big to fail banks had to be bailed out with federal money.
They either eat the debt if not worth pursuing, file for a court judgment before statute of limitations expires, or sell the debt at a discount to someone who will attempt to pursue it, possibly filing a court judgment. That is one reason that credit card interest rates are so high, to cover delinquencies.
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No. The banks lose the money. They have no protections. They do not get bailed out.
No. This is what reserves are for.

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