Credit Cards may help to get bad credit but when used correctly, it can be a powerful help in working to rebuild your credit line.
Let me give an example of how credit card debt could get you into trouble.
If your first credit card statement has $10,000 in balance due, you could be faced with several crises.
If you want to go into a dealership and accept an offer and pay a $5,000 installment, however, you could soon need to pay $1,000 for the privilege.
If your balance on your first credit card statement is, perhaps, $10,000, that’s $10,000 that you could be facing. However, if you pay the amount instead of the date, you could end up having to pay an outstanding debt of $10,000.
Here are some cases in which credit card debt can become worse:
-If you’re in your 50s and you owe $500 total of rent on your landlord, your landlord could owe you more than $500,000, according to a study by the consulting firm Accenture & Co.
-If you’re fifty years old and consider yourself a co-owner of a mortgage company, the mortgage lender could owe you more than $500,000, according to a study by the consulting firm Accenture & Co’.
You should also know that your credit card debt is growing at far less rate than that of consumers with more education or less income, according to a report from the U.S. Credit Advocates’ Economic Institute.
Even though credit card debt is becoming more important than ever, it still makes sense for you to take full advantage of it.
Now that’s not to say that everyone has to pay for their credit card debt because there are many good reasons not to. If you think, for example, that your credit card debt is too great, I guarantee that it is. But using your credit card to purchase items that you need right now on the internet is a far greater solution than risking the consequences of just buying something that you don’t really need.
Copyright – Jeanette J.
Credit As Many As Possible: Debunk The Charges Of People Who Don’t Know Money
Have you ever wondered why people charge people more than they owe? Many credit repair companies claim that you may be responsible for the whole fees that they sometimes charge. Companies often raise it to their eyebrows, such as offering consumers a low interest rate or no fees at all. But there is a growing consensus that you need to know whether this is a legitimate plan, or just a disguise.
Let’s take a look at the obvious – and hopefully least controversial – reason why somebody who does not know money should not offer credit repair services.
The credit repair plan’s primary purpose is to make you more financially stable. They want to make sure that if you do take out any credit loans, a healthy income cannot be denied. They also want to lower the interest you pay on your accounts, or put you into foreclosed situations. There is no question that the credit industry is very powerful, and that is good. But perhaps you should be more aware about these powerful forces, or at the very least learn what you’re paying for.
To answer that question, let’s take a closer look at the credit plan that the credit repair company calls ‘a scam.’ Well, do you really want to sign up for a credit repair plan to fix your credit? That is really too easy a answer to answer. Many people do, and it is easy to be swayed by their offers and offer little explanations. Besides, you are doing nothing. As if, instead of suffering the consequences of one of their promises, you realize that you are paying them with your life.
Yet another scam that claims you can save thousands of dollars in interest when you try to open a new savings account rather than opening a new checking account, such as $120 to $150 per month! It’s outrageous! You see, that is how much interest an insurance cover is offered for having credit or the loss of it. In today’s situation, if you use that $120 to $150 per month to open a savings account and pay the credit card company then you will be better able to do that other thing that millions of people do every year – make a profit – using their money to pay a vacation or to buy the items they want.
The scam involves a credit repair company without giving anything else away that I have here. Instead of calling your credit card company and saying that you can’t pay it, they pretend that being the bad guy still gives you the ability to get your credit back.