Excessive Credit Card Debt and How to Avoid it

Do you think you have excessive credit card debt? Are you holding more than 1 card? Are you only making the minimum payment every month? If the answers to these questions are "yes", then you have a problem.

Too much debt in the past decade has created more bankruptcy then in the past. This is due to the relax law in the application of these financial services. The age of credit card holders are getting younger and the financial requirements has reduced too. That is the basic problem; the card holders are not mature enough to control the spending which is giving rise to higher bad debts and more bankruptcies.

The government should impose stricter rules to control the approvals of such services as the economy of a country might be impacted if there are too many bad debts or bankruptcies. Foreign investors will not be interested in a country that has high bad debts or a weak economy because of the instabilities in its political and economy situation. A lot might think that excessive debt will not have any impact on the country except for personal interest, but it does.

For a person to break free from such problems, one needs to have the self-control to stop using the credit card so that new debts are not accumulated and to start paying more than the minimum payment or in another way, consult a debt consolidating firm or agency for help. Go for debt counseling if necessary.

Debt can destroy one's family, a person's career, and in extreme cases, suicide. These are the bad results if the person is not careful with controlling the usage of credit cards. Financial services like credit cards or personal loans are good services provided the person using such service knows how to use it wisely.

Source by Lisa Max

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