Learning all about credit card catastrophe avoidance can have amazing benefits for your life and finances!
One of the biggest challenges for people to overcome when they first determine to start building wealth and putting income away for their future is a hulking mountain of charge card debt developed over several years. With balances of $10,000 or $20,000 or more, at 20% and 30% interest, they find themselves paying upwards of $500 monthly in interest expense alone, never making the balance of the charge card debt decrease, adding even more defeat and pain to the cycle. But not everyone knows the secrets behind getting rid of credit card debt.
You know why most people have a tendency not to be able to get out of debt? It's because they don't know about “negative amortization” - that’s when you start paying interest on the interest you already owed as you didn’t make a big enough payment to cut the balance - will mostly be against the law due to recent regulations set in place over the last few years. This is precisely why you should pay off high interest charge card debt...
People who struggle with saving money and getting out of debt will find these things in common:
They don't know how to stop blaming.
They have no idea where their money needs to go!
They don't know they need to forget the home equity line.
They also don't understand they need to sell some investments.
Many more problems untold…
Let’s face it… The number of people carrying charge card debt has been steadily increasing in recent years and the choices for dealing with this liability might vary from person to person. In addition to not being able to pay down rotating bills, consumers are progressively racking up more debt on multiple accounts and holding higher amounts on each card, every year with the average amount achieving higher than 10k per card.