Will a credit card company close your account if you enter a hardship program?

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September 8, 2026 / 1:47 PM EDT / CBS News

Credit card debt can become difficult to manage long before you actually fall behind or miss a payment. All it takes is a higher grocery bill, an unexpected car repair or another jump in a recurring expense to leave less room in your budget, and if you're carrying a balance from one month to the next, it can make the problem exponentially worse. And, that's especially true right now, with the average credit card rate sitting at 22.15%, according to Federal Reserve data.

If your budget is getting tighter, though, falling behind on payments isn't necessarily the only option. Many credit card issuers offer hardship programs designed for cardholders who are struggling to keep up due to a job loss, income reduction or another type of financial hardship. Depending on the card issuer and your circumstances, these programs may temporarily reduce your interest rate, lower your monthly payment, waive certain fees or otherwise modify the repayment terms.

Those types of concessions can provide valuable breathing room, but accepting them may…

Original source: https://www.cbsnews.com/moneywatch/