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Seven Signs of a Debt Problem:
Are you in control of your credit card debt – or is your credit card debt controlling you? Although I often encourage my readers to avoid using credit cards altogether and to try for a zero balance on any credit cards they do have, I also understand that some people use credit cards. There are lots of reasons people use them – some folks earn rewards like airline... -
“I Don’t Make Enough to Save”
Four Ways We Talk Ourselves into Financial Disaster You make plenty of money – enough, at least, to allow you to pay bills, eat, get to work, and save for the future. You even made a budget once; a neat and attractive Excel spreadsheet that organized and allocated your monthly earnings, down to the penny. You even had spending money left over. Well, you should have, anyway. ... -
Why Credit Cards Lead to Overspending (and What You Can do About It)
As someone who deals with debt for a living, I can’t tell you how many times I’ve heard people defend their credit card use. “I only use my credit card for emergencies,” they tell me. Or, “I just use it to get the airline miles/reward points/cash back.” And of course, one of my favorites: “It’s okay because I know how to use it responsibly.” Here’s the thing, though:... -
Five Unnecessary Credit Card Services
. . . and Why You Don’t Need Them If you’ve got a credit card, chances are good that your credit card company has tried to sell you some other credit-related service. At first glance, some of these offers sound kind of good – especially if you’re struggling with a high balance or dealing with credit score issues. After all, who doesn’t want a better credit score or a... -
The Six Deadly Sins of Credit Card Use
How a Few Bad Habits Can Add Up to a Cycle of Eternal Debt We all know that credit cards are hazardous to our financial health, but Americans are still using plastic just as much as ever. Just how bad is our addiction to plastic? According to a recent Cardhub study, Americans racked up a little over $18 million in credit card debt in the second quarter of 2011... -
Clearing Up Commom Credit Limit Misconceptions
Are there really “no-limit” credit cards? Is a high credit limit better than a lower one? Will a high credit limit hurt your credit score? This month, I thought I’d spend some time discussing some of the more pervasive beliefs about credit limits. But first things first. Before you start reading, take this quick, 5-question quiz to find out how much you really know about credit card limits: 1. ... -
Credit Card Debt: It’s Never Too Late
What happens when you fall (and stay) behind on your credit card payments? And how do you fix it? If you’ve ever struggled with credit card debt, you’ve probably played the “what if” game. As in, “What if I just stopped sending payments?” Or, “What if I just ignore that collections letter?” It’s a tempting game to play – especially if you’ve got lots of credit card debt and... -
Five Credit Card Purchases You Must Avoid
Most of my readers probably know I’m not a huge fan of credit cards – in general, I believe it’s better to save up and pay cash instead of racking up hefty credit card bills. In some cases, though, credit cards make sense. For example, some folks charge big-ticket items like large appliances to earn reward points, get cash back, or earn airline miles. Others like to keep their... -
Making The Most Of Balance Transfers To Help Reduce Debt
The do’s and don’ts of using balance transfers to pay down your high-interest credit card debt. Just a few short years ago, balance transfers were seen as a quick-fix for folks drowning in debt. It was simple: you shopped around, found a great introductory deal, made payments while your interest rate was still low, and, once the super-low intro rate expired, you started the whole process over again. By... -
Smart Credit Card Debt Management Tips for College Students
College students are in a great mindset. They are out of high school, they have more freedom, and they may have a steady job making some money. Unfortunately, many college students take advantage of the buy-now-pay-later mentality of the credit card world and find themselves in a position of seeking credit card debt management. Credit card companies prey on college students because they figure they are not experienced enough...