PLEASE NOTE: To protect your safety in response to the threats of COVID-19, we are offering our clients the ability to meet with us in person, via telephone or through video conferencing. Please call our office to discuss options.

How can you stay out of credit card debt?

On Behalf of | Aug 6, 2021 | Credit Cards, Debt

After digging your way out of credit card debt, it is important to make changes in the way you treat your credit card so you never fall into the same problems again.

Of course, in some cases, credit card debt is a one-time thing that happens due to medical emergencies. However, many people who suffer from this debt can still benefit from making alterations to the way you view your credit card or use it.

Treat your credit card differently

The Balance discusses ways that you can avoid falling back into credit card debt after you dig yourself out. Some involve changing how you look at your credit card. Many people consider it money they can borrow without actually having it, but you should instead view it as another debit card. Do not spend more than what you currently have, as this will allow you to pay off your balance in full every billing cycle.

Next, understand the terms of your credit card well. This allows you to avoid unexpected fees or mark-ups that you might not have otherwise noticed. It also keeps you on track with your payments and spending limits. Speaking of spending limits, try not to go overboard as yours gets raised. Just because you have the means to buy more, does not mean you should.

Limit the number you own

Limit your number of credit cards, too. Some people have multiple because they want to get around their limits, or because it is easier to pay things off in cycles. But in reality, it just creates more bills and debt to keep track of, which can stack up before you know it.

It can help to have financial guidance at the beginning of this process, too. They can help you set and keep good habits as you move forward with your credit card spending.

Archives