Credit Card Debt


By : Mike Reindhart

Americans are in credit card debt – some quite deep. Statistics show that the average American carries an average of $10,000 in credit card debt. That’s a lot of money! We are an instantaneous society meaning we want what we want when we want it. So when a consumer has a credit card, it’s often easy to just whip out the piece of plastic and charge purchases.

It’s not that we don’t intend to pay the bill – at least most of the time. Most people have good intentions when it comes to their credit card debt. They’ll pay the bill when they get their next paycheck, they’re expecting a cash windfall and they’ll pay the balance in full then, or they figure they can always make payments. But sometimes life happens and circumstances step in preventing people from paying down their credit card debt which is how many people get into trouble.

Credit card companies like this and they constantly deluge us with offers of low financing rates with high credit limits all in the hopes that they will run up a debt and then have to pay finance charges which is how they make their money. And those credit card offers are coming to people at younger and younger ages.

It’s not uncommon for a new high school graduate to get a credit card offer that they send in for. Many of these young people love the feeling of being able to charge merchandise without having to pay for it at the time. Many of these young people are also not financially savvy and the credit card debt piles up rather quickly.

If you find you have gotten yourself into a problem with credit card debt, it’s important for you to take steps right now to take care of it. That means you need to pay down that debt as quickly as you possibly can until you can achieve a zero balance. Probably the best idea to get out of credit card debt is to cut up the plastic and then make the largest payments you can for as long as you can to help take care of the problem.

Credit card debt is a fact of life for many Americans and it can affect credit ratings which can cause denial of a loan for a car or a home. Get out of credit card debt as soon as you possibly can. It will reflect well on your credit report and make potential future lenders trust you more as a good credit risk.

Credit Card Debt Counseling Service – Have you found yourself in trouble with credit card debt? You may want to seek out the services of a credit card debt counseling company. These businesses exist specifically for people like you who have gotten in too deep with credit card debt as well as other types of debt, and their counseling services can be a lifesaver when it comes to getting control of your finances.

A credit card debt counseling service will start by taking an in-depth look at all of your finances. That includes your income, your debts, your assets, and your liabilities. They will examine where you can make cuts to free up more money so you can start to pay down your credit card debt. After a thorough look at your financial statement, that’s where the real work begins.

Together, you and your debt counselor will make up a new plan for your financial future. A credit card debt counseling service has professionals who know the best ways to make up a financial plan that will work specifically for you. That means they will help you develop a budget that you can actually stick to. They will probably encourage you to cut up all your credit cards except for one and develop a savings plan as well so that you have a cushion to fall back on if you find yourself in trouble again.

Many people don’t use their credit cards wisely. They find themselves deep in debt because of that. One reason they overspend could be that they just don’t think before they whip out the plastic to pay for those new pair of boots or that new pair of sunglasses. A credit card debt counseling service will give you coping tools on how to resist the urge to charge and guide you toward paying cash instead of buying things you don’t need with money you don’t have.

Of course, having a credit card for emergencies is usually a good idea. But you really need to be able to resist using it for frivolous things. The counselor at your credit card debt counseling service will outline what defines an emergency and what doesn’t. They may even give you their phone number to call so that they can guide you in times of weakness.

A credit card debt counseling service is a great idea for people who are in debt too deep to get out on their own. The expertise and tools that they provide really can help get you back on the road to financial freedom and out of debt.