Filling bankruptcy is the worse case scenario of your life as you keep racking up credit card debt and you could not settle it within short period of time. It is common that this incident able to destroy your life forever and you might give up your aspirations, wealth, family ties and even your personal health.How do you deal with this particular problem when you are in such a difficult situation?Do not afraid of failures as you follow these steps to achieve debt-free life status:Step 1: Admit your mistakes – Don’t blame others!Most people are reluctant to admit their own mistakes such as being a shopalcoholic (means a person spend most of their money on items that do not usually use) and blame others (your credit card issuer or bank) for filing bankruptcy.Step 2: Review your statementsIn other cases, some debtors do not usually review their monthly bank statements including mortgage, credit card, car loan and other related statements. Normally, there is no excuse for you to forget important information such as the actual figures of monthly outstanding amount that you are required to pay off.You must be aware of the interest rate charged by the card issuer when you are unable to make full payment in monthly basis. Remember, you are trying to detonate the “time bomb” if you choose to make minimal payment for your card bill. The explosion of the ‘time bomb’ happens when you are unable to settle your card bill and you will be filled for bankruptcy.If you are in the crossroads, it is not too late to review your credit card bill. You can use online loan and debt calculators to estimate the amount money that you need to eliminate your debt. It takes determination and self-discipline if you want to get rid of these problems within short period of time.Step 3: Take action – Walk the talkIt is indeed important to take serious action if you are in such predicament. If you things getting out of control, do not give yourself up yet. It is time to negotiate with your credit counselor to reduce the interest rate in order to settle the outstanding amount in full. You must change your bad spending habits and start a frugal lifestyle. For optimal results, it is preferable to use debit card for any purchase in order to avoid overspending.Educate yourself with self-help books to avoid becoming a financial illiterate motivated person. It is also needed because fighting bankruptcy requires courage, determination and self-discipline to eliminate to improve credit score. If the problems could be solved by these methods discussed above, seek debt consolidation as your last resort in which your credit card debts and loans are combined to save money for future use.