3 Tips to ignore The Credit card Trap

Credit cards are like become a part of daily life and now days most among us have a money wallet full of credit cards. Even it provides
Numerous amount of convenience, it also reaches to us with an immense scene of responsibility - a responsibility that so many people just hardly contain. What you actually ought to identify is that, a credit card which is in reality just nothing more than a huge expensive loan and liability. Until you arrange in correct way, you might discover yourself in a very serious financial fix earlier then you recognize it.

This is just Because credit has nowadays become such a unnecessarily maintained matter bans, several institutions and even few stores are also handing out some cards as if it is little bit candy - which enticing more us to spend . There are few things which are really changing but in lack of your own strict discipline there is no actual solution.

Just check out 3 very unique tips and idea for basic Wealth management with a credit card.

1. Do not allow yourself more than one Credit Card

Even if tempting to take up each offer that reaches your path, you just ought to be little firm on. the time When we require something it might be a huge temptation to just purchase it on credit and after purchasing "worrying about making a payment for it in the future ahead". The main difficulty is that it will most likely come back to locate you. One credit card is enough for purchasing and lots of people do not have the effective skills to manage more than one card effervescently

However always try to ignore it.

2. Disburse Your Card In total in each Month

Spending is the happy area of a coin. But Paying after purchasing is most horrible part of that coin. Also, its so frustrating that you one day you will wake up and see yourself knee deep in so much debt. The simply way to use the credit card sensibly to disburse off your credit cards in full in each month. also the interest is a real horrible trap and the time when you do not make you complete reimbursement then there are some chances that you are spending for a fortune in.

3. Try to ignore purchasing the Luxuries in Credit

If you are planning to purchase a brand new TV, or new cloths, the integration to buy luxuries on credit is always available. "The important realty is so many shops, stores now offering credit shopping also credit cards makes it so easier than ever since so grab it ". All the time you do not have to check your wallet now and then and take cash out it, also the time when you feel you are in a great extent of getting higher in debt because of credit cards. I will advice you that you start having cash simply - just make a use of it for some time lets say for 1 week or two week then you will be able to control your credit card debt.

Credit card debt: obstacle for your peaceful finance life (part 2)

.....I am back again, to throw some more bright light on the necessary facts associated with Credit card debt releif issue.
On my last post regarding this topic (where I firstly came up with this issue & started discussion.....I guess,), I made you aware of the common financial mistakes and wrong, uncalculated financial steps responsible for the accumulation of credit card debt. I told what it takes to get unpaid heap on your cards, and why its a FATAL HABIT (as I described it) to use a lot of cards. But then, how to avoid card debt completely? How careful we need to be while taking any financial step, and what are the right financial steps we need to take to save ourself from card debt? How strict, choosy & picky we need to be about purchasing all the stuff via credit card? All these questions always keep haunting every simple, middle class working guy....like you all, I have also been looking for answers to them for a long time and came up with a few solutions & tips...which I trust, are useful for card holders to keep in mind.
Lets see, if my words help you:

1) 1st of all, stop unlimited, unmeasured & unleashed use of your cards. Keep in mind: your cards are to support you in case you find any tough situation, where you need money & you dont have the cash to pay. Their purpose is to provide an instant monetary backup...by letting you borrow from your lender, whenever you are in need to make any payment. You are not supposed to finish the total credit limit given; so, purchase your loved things, enjoy, buy gifts; but within a limit. You have to set the limit of card use every month, according to your income & overall financial capacity.

2) To be able to configure that card use limit, (i.e. exactly upto what amount of card resource you should spend in a month in shopping & other things), the best way is to draw your own income-expense budget each month. The budget, of course, has to be made according to your income. Then, you can make a list of things you have to purchase or should purchase each month, as per the priority. Initially, try to stick to the buy of priority only....try not to go out beyond the enlisted things too much.

3) Try to reduce the habit of borrowing. More loans are there....more amount of unpaid money piling up on your cards. Those, who take loans every now and then...are generally, more likely to drown into debt. Ita a fact.

4) Why unnecessarily using too many cards? What is the facility? You might say: man, I am getting huge credit balance!! Then give a look at the odd side: more credit balance in your hand, more consumption, more misuse....after all, its hard for us to resist the temptation to spend more, when we are getting more. Isnt it?

5) Try to carry out a monthly calculation on the debt (if any) you have got on each of your cards. This calculation should be done at the starting of each minth, when you are getting your income in your hand & are set to draw the monthly budget. This shall help you to get the clear picture of your present debt scenario; you can act accordingly.

Credit card debt: obstacle for your peaceful finance life (part1)

Its true....that plastic piece looks a small thing and seem to be an ignorable object no doubt, but the monetary debt generated out of it is really demonic & scary.....it is enough to disrupt your otherwise peaceful financial life. And the debt scenario of this type in US is staggering, indeed.....inspite of US govt. taking several steps at times & distributing several public tips to brun the card debt of poor Americans. But, among al;l other debts, the debt with your card is the worst thing for your life....it may easily hamper your tension-free life. Right now, people from half of America are drowned in debt they have produced on their credit cards. And what are the reasons of such huge amount of money on cards being irregularly paid or not paid at all?

Well, we always know the main negative factors:

1) ill-measured, unlimited use of cards, always beyond the credit balance given....without considering one's financial capacity to repay all these;

2) Incorrect expense budget calculation or NO BUDGET CALCULATION at month's begining....so no idea of what are all to be purchased, purchasing upto what amount to be maid this month to balance between income & expense;


3) Cursed habit of taking loans every now and then....for each unimportant items that come in way, without considering the true necessity;

4) We use a huge no. cards, provided by different lenders....its a damn fatal habit. Its a very linear equation: more cards you use, more "missues" of your cards actually you are making by making unrestricted & unleashed use....means, more debt is mounting up on each of your cards at month's end. Add those individual debt up together.....you shall faint seeing the figure.

Indeed, there are more to discuss on this topic......but thats all for this post.....I shall come up with more on the next one.