Though Tennessee residents may recognize him from a string of successful sitcoms and his starring roles in some big budget Hollywood films, Charlie Sheen has recently been in the news for a slew of reasons unrelated to his acting. News about his health has made headlines, as have his struggles with his former wives. Recently, however, Sheen was back in the news for yet another unfortunate reason -- he is being sued for carrying excessive credit card debt.
The credit card company American Express has sued Sheen for nearly $300,000 in principal balance and late fees. Sheen has acknowledged his financial troubles and claimed that the missed payments and outstanding balance arose out of mismanagement on the part of former employee.
Regardless of why his credit card balance reached such an incredible amount, Sheen will likely be liable for repayment of the used credit if the information contained in the lawsuit is correct. Whether the matter will go to trial is unknown; many credit card companies will negotiate with their card holders to secure some payments and may reduce a card holder’s debt amount if that individual agrees to a repayment plan.
Sheen’s debt is very high, though he is not alone when it comes to experiencing credit card debt. Many Americans struggle to make the minimum payments on their credit cards and are pulled into the difficult situation of owing money to credit card companies that they simply do not have available to them to pay.
As stated, some credit card companies will work with their borrowers to work out repayment options that accommodate their card holders’ abilities to pay. Other options, such as bankruptcy, can provide individuals with credit card debt with means of getting ahead of their overwhelming financial burdens.
Source: nydailynews.com, “Charlie Sheen sued over credit card debt of nearly $300G,” Melanie Dostis, May 16, 2016