Credit Card Debt

Written by Amy Hall
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Credit card debt is a growing problem for many families today who are struggling to make ends meet. Credit card companies make it easy for consumers to spend, by offering enticing interest rates to join or transfer balances from other cards, and they even grant many people high credit limits who really should not have that available to them. If you are transferring balances back and forth between cards, you are hurting your credit and digging yourself further into debt.

When you transfer one credit card balance to another card, you should cut up and cancel the original card. If you don't, the temptation to run up that balance again can be too great when you are strapped for cash and need to buy groceries or gas or pay for some other necessary expense. It's important not to use your credit card for everyday expenses, as this will surely just rack up debt fast.

Finding Your Way Out Of The Debt Trap

Did you know that the average American family carries more than $8,000 in credit card debt? That is a really scary thought because that balance could take almost 20 years to pay off when the minimum payments are being made each month! Think of all the interest you would be paying over the course of 20 years. . .your credit card company is smiling all the way to the bank.

If this is your situation, get help fast. A good credit counseling agency will be able to map out a plan for you that includes negotiating with your creditors on your behalf to reduce your monthly payments and the interest rates on your cards, as well as putting together a budget that will help you to save better. Being in a financial crisis is never fun, but there are ways that can help you find a light at the end of the tunnel much faster than if you try to do it alone.

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