Credit Cards–Instant Gratification With a Lengthy Recovery

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The best way to describe credit cards is “addicting”. They bring quick enjoyment that can turn into years of grief. Credit cards make it easy for a person to live beyond their means. They are also the cause of stress and depression when the monthly statement comes in the mail.

This country�s credit card debt is in excess of $735 billion, or almost $7,000 per household. Approximately 40% of revolving credit card users pay their bills in full monthly. Per capita, monthly credit card balances of those unfortunate households carrying balances is close to $12,000. If you pay $240 per month, it will take 8 years to pay the balance in full. If you pay the minimum payment, it will take even longer due to the minimum payment decreasing as the balance decreases.

Credit card companies extend you credit with the intention that you will carry a balance. They make their money, through you paying interest and fees. If you pay your balance in full monthly, you are borrowing their money interest free for 25 days.

Literally every industry in today’s society accepts credit cards. If you have a credit card you can buy a Big Mac. Businesses are making it more convenient to use a credit card than ever before. Billions of credit card offers are mailed out annually and it is hard to checkout a t a retail store without being offered something in exchange for applying for a credit card with their store.

Debt will be part of your life until you learn how to deal with the temptation of instant gratification. Before you will see your debt decrease, you will have to put yourself on a “cash only” diet and then you will have to begin aggressively paying your credit cards down. To accomplish this, it will take changing the way you think about credit and its many pitfalls, but it can be accomplished by making some lifestyle changes.