Pay your Full Credit Card Balance
The convenience and free credit feature of credit cards can be very useful for everyone. The bad news however is that most consumers maintain large balances on their credit card accounts thus making them continually pay for sizable interest payments.
With the society telling us that it is needed to own a new car, your new house, and a complementary entertainment showcases, follow the latest fashions, and normally live beyond what you can afford, you are just simply lured to take out that credit card out to avail these comforts. And with access to these funds, life can be easier. Anyway, credit card issuers make an easy scheme for you to take advantage. By asking you to make only a minimum monthly payment, you think you are paying your debt well in a very opportune manner.
The down side, which some of you might have a hint already, is that the minimum payment can barely cover the finance charge of the previous month. Only a meager percentage of the principal is left paid in the process. Making only the minimum payment is actually a way for credit card companies to ensure you to remain as a long-term client they can profit from. Obviously, this minimum payment scheme will make you take a long time to repay the debt. It only assures the card company a big return in interest payments and finance charges.
Given the cycles of unemployment and under employment today, it can be difficult to avoid falling into debt. But falling into debt has its price. And the price can be your very own freedom.
For now, avoid carrying a balance on your credit cards. If in cases that you have to carry a balance, have the priority to pay it down first unless you want to live your whole life paying the minimum payment of that credit card debt.
For more information on financial directory, get FREE Articles Tips at DollarGuides.com. Get debt-free today with tips on how to get rid of debt here. Start improving your personal finance today.
With the society telling us that it is needed to own a new car, your new house, and a complementary entertainment showcases, follow the latest fashions, and normally live beyond what you can afford, you are just simply lured to take out that credit card out to avail these comforts. And with access to these funds, life can be easier. Anyway, credit card issuers make an easy scheme for you to take advantage. By asking you to make only a minimum monthly payment, you think you are paying your debt well in a very opportune manner.
The down side, which some of you might have a hint already, is that the minimum payment can barely cover the finance charge of the previous month. Only a meager percentage of the principal is left paid in the process. Making only the minimum payment is actually a way for credit card companies to ensure you to remain as a long-term client they can profit from. Obviously, this minimum payment scheme will make you take a long time to repay the debt. It only assures the card company a big return in interest payments and finance charges.
Given the cycles of unemployment and under employment today, it can be difficult to avoid falling into debt. But falling into debt has its price. And the price can be your very own freedom.
For now, avoid carrying a balance on your credit cards. If in cases that you have to carry a balance, have the priority to pay it down first unless you want to live your whole life paying the minimum payment of that credit card debt.
For more information on financial directory, get FREE Articles Tips at DollarGuides.com. Get debt-free today with tips on how to get rid of debt here. Start improving your personal finance today.
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How to get Rid of Credit Card Debt Fast with FREE Articles Tips at DollarGuides.com. Help tips and more plus Credit Card Debt Information
posted by Credit Counseling at
6:05 AM
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