Practical debt management despite using credit cards

Indeed, credit cards today are one of the most important things—or to put it more adequately—one of the most inevitable aspects in a person’s financial management. Although it is considered as an effective tool in spending wisely, it is still a way of obtaining credit. So people must be careful in using their credit cards so they won't have debt management problems.

The key to effectively manage debt while using credit cards

Boiled to its essentials, credit is still a credit. Alongside with its visible and hidden pitfalls, people should pay more attention in making crucial decisions in obtaining any credit.

Experts agree that that best way to manage debt while using credit cards is to know how it works and fully understand the underlying conditions that fall upon signing up for a card. Knowing these, as well as the other charges and dangers, can help people not only to manage their debt properly but can also encourage them to spend wisely.

When it comes to using credit cards, the number factor that gives people trouble in managing their debt are the so-called "ungraceful grace periods." This refers to the time frame wherein a credit card holder is allowed to pay his or her dues after the date he or should have settled the monthly obligation without having to worry about any interest. The basic premise when it comes to grace period is that is available for consumption within a month's or time or exactly 30 days.

But, people must beware of the “30 days” printed on black and white is not really “30 days” because it excludes holidays, weekends and even bank holidays. If you think about it, roughly 20 days are given for us to pay our bills. Don’t be overwhelmed by the “30-day grace period” because it may lead you to pay your pending bills at a latter date only to find out that the credit company or the bank itself charged interest on your account.

Another thing that keeps people in trouble when it comes to managing their debt is the "payment and repayment distributions." In reality, repayment for credit card accounts could take many, many years if you don’t allocate the supposed payments properly. When you use your credit card for cash advances and purchases, or when you carry a balance, additional rates are then charged you that are even beyond the promotional period. Being aware that the your repayment could be 2 to 4 times higher compared to the original amount, this will decrease the possibility of having higher rates that would lead to huge compound interests.

The "tricky balance transfer fees and misleading inactivity charges" also makes debt management harder for people who use their credit cards often. When assessed, balance transfer rates are a big joke because when credit companies offer low introductory rates, they don’t include your options of balance transfers. And once you do this, these sneaky fees will rob you out blindly through transaction fees that could double your debt.

Lastly, the confusing “bait-and-switch” card offers really makes it hard for people to achieve effective debt management. If you are using credit cards, one thing that you should always be on guard is the bait-and-switch card offers. There are direct mail offers that advertise a low interest premium card that we can switch to any time you like.

Since these advertisements offers intriguingly low interest rates, most people immediately indulge into the offer without realizing that the card may carry a higher interest rate.

By your GoodBuddy Richard La Compte
You may contact me through my Help Desk


Website URL:
Title / Subject:
Hide my email


My Articles

Tips On Seeking Good Debt Management Advice
How Can Low APR Credit Card Eases Debt Management Problems
Debt Management Can Be A Good Thing Too
Debt Management Plan And Other Debt Payment Alternatives
Debt Management – How To Come Up With The Right Plan
Easy Ways Towards Debt Management
How To Go About Debt Management
Tips To Succeed With Personal Debt Management
Alleviating The Troubles Of Bad Debt Management
Effective Debt Management By Choosing Credit Cards Properly
Four Important Steps On Good Debt Management
Practical Debt Management Despite Using Credit Cards
Credit Card Debt Management – The Right Tricks For Its Implementation
Debt Management Tips To Help You In These Troubled Times
Saying No To Debt Management Problems
Keys To A Debt-free Life: The Debt Management Company
Veering Away From Debt Management Problems
How Can Credit Card Affect Your Debt Management Strategies
Pay Off Debt With A Realistic Credit Card Debt Management Plan
Debt Management From The Home
Debt Management, What You Should Know
Eliminate Debt Management Problems By Solving Credit Card Debts
Choosing The Right Credit Card To Avoid Debt Management Troubles
Managing Debt While Using Credit Cards


   Related Sites

My Articles

Effective Debt Management By Choosing Credit Cards Properly Credit cards are indeed considered as one of the "miracles" in..

Debt Management Plan And Other Debt Payment Alternatives Debts can get out of control quickly. A lot of people learn that fact the..

Debt Management, What You Should Know Even without the economic crunch, a lot of Americans are..

Credit Card Debt Management – The Right Tricks For Its Implementation Credit cards give you the opportunity to acquire the material things..

Related Products:

Related News:

Credit counseling Will Help You Improve Your Finances, This Is Why -
Tue, 17 Sep 2019 20:58:00 GMT
    Credit counseling Will Help You Improve Your Finances, This Is Why

If like most Ameicans, you need help with your finances and start to wonder, what are the benefits of visiting a credit Counselor? Is It right for me?

Which Debt Relief Programs Save You The Most Each Month -
Fri, 30 Aug 2019 07:00:00 GMT
    Which Debt Relief Programs Save You The Most Each Month

Anyone struggling with credit card debt or other forms of debt knows the unique challenges that come with debt, here is the best Debt Relief Program.

Campbell ditches CDIAC for Aquorn - Bond Buyer
Tue, 17 Sep 2019 20:00:38 GMT
    Campbell ditches CDIAC for Aquorn  Bond Buyer

The cloud-based debt management and reporting *service* hired Mark Campbell as head of western region client management.