Eliminate Credit Debttips to avoid the headaches

By: R Bruce Neill
Did you know that about half the profit of credit cardcompanies comes from their fees and penalties – so to eliminate credit debt has become a national issue of huge proportions –that adverselyaffects millions of hard working people.

Half their profit!! – that’s a monstrous sum of money and itcomes out of your pocket, if you carry balances every month. The question posedhere is, do the credit card companies set you up to guarantee their bankaccount, and ruin yours?

Sometimes, yes, they really do.

Red Flags to look out for:

They may move the due date forward and forget to advise you. When you pay on-time – you incur late charges. Not very nice is it? Further,they may use your late payment as anexcuse to cut your maximum limit. Bingo – you were just under the limit – andnow you’re just over. More fees and- no comment.

They may then use the excuse to increase your interest rateand charge it on all existing balances too. Woosh – your minimum payment justshot up.

Next thing you know, your credit debt is out of control.

To avoid digging the hole deeper, the first thing to do nowis chop up the card. I’m serious – it’s the only safe way. We all tend tothink, well I can make the payment and when better times come, I’ll pay it off.If better times never come, and look at the crisis we are in 2008, then it cantake decades, yes, decades to pay off that card!

We all know that rainy days happen to the best of folks. Butwhen rainy days turn into rainy years, it ain’t pretty. So, do your absolutebest to stash away a reserve for these unhappy events – job loss, illness, etc.Ideally, we should all have enough to cover 6 months of unemployment. How manyof us manage to do it? Almost nobody and we pay the pain.

Our society is built on immediate gratification – I want itnow, and what’s more, I deserve it. Just look at the TV ads pounding thismessage day and night. But, we really should buy it when we have the cash …..hard? Yes, but true. If not, we pay the pain later.

The only way to sleep at night and keep your hard-earneddollars in your bank account is to eliminate credit debt, so if thisarticle got to you too late and you’re already in the hole, then let merecommend a service I used while learning the hard way (check it out here) http://www.debtclear.com/programs/5148321. Bythe way, don’t consult your friend who’s worse off than you!! – and do checkout your local Better Business Bureau to be sure you’re in good hands.

If you found this article useful, pass it onto your friends.Easier to avoid than cure …

*All informationcontained herein is for informational purposes only and is not to be construedas legal, financial or tax advice.?Consult your trusted professional.

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