When used like a debit card, credit cards often don't cause any problems. You just spend less than you earn and pay it off at the end of the month, rather than taking money out at the time of each purchase, as you do with a debit card. It's the same general principle.
What is the CARD Act of 2009?
The Credit Card Accountability Responsibility and Disclosure Act (CARD Act) was made a law by the United States Congress in 2009. At the time, it aimed to reduce creditors' abusive or deceptive practices. The Consumer Financial Protection Bureau (CFPB) enforces this law.
What is the average credit card interest rate?
The interest rate is incredibly important when choosing a credit card. If you cannot pay the balance off every month, you're going to need to pay for that loan -- which is all a credit card is, really -- and the interest rate determines how much it costs. Many people who run into problems with credit card debt get trapped in a cycle where they can only afford to pay the interest and they never make any headway on the balance.
Tips for debt prioritization
Being in debt can make even the most focused people lose their perspective. A common reaction to overwhelming debt is to avoid the problem completely and to continue spending as usual. This reaction is so common because facing the situation is painful. It's important to remember that the problem will only get worse if you ignore it. Therefore, the sooner you take control of your finances, the sooner you will feel better.
Should I file for bankruptcy due to credit card debt?
Credit card debt is a common issue for many Americans, especially during the holiday period. You may feel that you need to spend more than what you have in your bank account so that you can buy food and gifts for family and friends. While it's nice to express love through these material things, you mustn't sabotage your financial situation in doing so.
Effective ways to tackle your debts quickly
The end of the year is quickly approaching, and you may worry that the new year will present new financial problems. This is why the final months of any year is a great time to start evaluating your finances and finding strategies that will help you improve your situation.
How does universal default affect my credit card debt?
Those who have significant credit card debts can experience issues due to high-interest rates. Needing to pay interest on top of the initial debt can make it impossible for many people to gain control over their finances.
Considering bankruptcy to tackle credit card debt
The majority of people use credit cards to some extent. While many see the habit as a secure way to make transactions and have no trouble keeping up with repayments, others get into the trap of using them as their primary source of funding. Sadly, many consumers find themselves using credit cards to spend money that they do not have.
How to deal with collection agency harassment
Dealing with debts can be stressful enough without having to be subject to creditor harassment. This is why there are many regulations in place to control the way that creditors can communicate with debtors. If you are feeling overwhelmed by the actions of your creditors, you should make sure that you assert your rights and put a stop to this behavior.
Managing credit cards responsibly
Credit cards can be a useful tool, no matter what your financial situation is. They make it possible for you to purchase items without immediately using your assets. This can benefit you from a cash flow standpoint since credit cards could help you to be able to afford bigger purchases. They can also be a more secure way of paying for things.
