Friday, April 22, 2005

If You Have Too Much Credit Card Debt, This Article Will Open Your Eyes! I Certainly hope!

The rest of the article can be read when clicking on the Title.

Plastic handcuffsBuying on credit is a convenient way to pay too much for everything you buy. Consider the costs: Say you spent $1,000 on clothing, using a credit card charging 18% interest, and you make the minimum monthly payment to pay off the balance. It would take you almost six-and-a-half years to erase the debt, and your $1,000 wardrobe would actually cost you more than $1,650. Or maybe you'd rather buy some furniture. Buy $2,000 worth of furnishings with a credit card charging 18.5% interest and consider the consequences if you pay off the balance by making minimum monthly payments. It will take more than 11 years to repay the debt. By the time the loan is paid off, you will have spent an extra $1,934 in interest alone -- almost the actual cost of the furniture.Unlike most things in life, when it comes to saving money, it pays to sweat the small stuff. And when you're done with that, go after the big stuff too!

Janet Luhrs contributed to this story.


At Wednesday, April 27, 2005, Blogger John Norton said...

Agh, I coudl never handle paying the minimum scheduled payment. I always pay like 20 times that amount. I can't stand having that much debt.

At Monday, May 30, 2005, Blogger James said...

I have no issues with payin the minimum or maximum. I actually just want A card so that I don't have to keep drawing money the whole time. Read my little story at "How to get a Credit Card in 6 months"

At Monday, August 13, 2007, Anonymous CrediThinker said...

Hm… You have interesting facts. But what did you want to say? We shouldn’t use credit cards? No way! In my opinion a man should just take care about his credit score and about his account. Credit system was made for people, not against…

At Tuesday, August 14, 2007, Blogger maria said...

Hi creditthinker,

I agree with you that one should take care of his credit. But you've got to admit, that it is a lot easier to spend with a CC than use plain old cash.

When using the plastic, you don't feel the "pain", as opposed to the CC.



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