Dealing with debt is difficult, but financial experts warn these mistakes make it harder

Credit card debt is becoming harder to manage as interest rates remain high and balances stretch from month to month.

But financial experts warn there are common mistakes that can make dealing with your debt even more difficult.

Not knowing how much debt you have

One of the biggest problems experts say is surprisingly simple: Many people don't fully understand how much debt they actually have.

Often, that happens because dealing with the numbers can feel overwhelming, Thomas Nitzsche with the credit counseling nonprofit Money Management International said.

Nitzsche warns ignoring the problem doesn't make it go away.

Interest compounds, fees add up and accounts can go to collections. Without a clear picture of what's owed, Nitzsche said consumers can't make informed decisions.

He says you should pull your free credit report regularly, review statements and write down every balance and interest rate.

Choosing the wrong fix

Relief programs, consolidation loans and debt settlement are very different strategies for different situations. Choosing the wrong one can lead to higher fees, unnecessary credit damage or months of lost progress.

Nitzsche says this often happens when people rush into a decision without understanding their options or assume there are only two choices: fixing it alone or filing for bankruptcy.

"We try to help people understand that there's some gray area in here," he said. "You can work with the creditors directly in a financial hardship plan, you can work with a nonprofit credit counselor in a debt management plan and we might even be able to help you with a settlement where you settle for less than the total amount that's owed."

Waiting too long to deal with debt

Nitzsche says simply waiting too long is even more damaging than picking the wrong solution.

"One of my favorite counselors used to say, 'Hope is not a financial plan,'" Nitzsche said. "It's sort of a head-in-the-sand sort of situation, and they're just hoping it's going to somehow magically get better on its own."

By the time those people seek help, the options may be far more limited.

"It's a really difficult situation and conversation to say to somebody, 'Hey, I really wish I could have talked to you three months ago,'" Nitzsche said. "The ship has sort of sailed here, and now we're talking about a very different set of solutions than we would have been."

More resources available

Debt is a focus this month on the In Your Corner podcast, covering common mistakes, practical payoff strategies and guidance on when to seek help. You can listen to the full discussion on the latest episode on CBS News Philadelphia's YouTube channel.

You can also get free, confidential advice on May 21, when certified credit counselors will be available throughout the day here to answer your questions. CBS News Philadelphia is teaming up with Money Management International (MMI) so you can chat with a trained financial counselor about your debt situation and how to get it under control. 

Looking for help with a consumer issue? Click here to submit your complaint to In Your Corner.