Managing your credit and debt

Credit & Debt Management

We all have a dream in life for our children and ourselves. But our dreams can land in to trouble if we fail to use our credit properly.Credit can be a great financial tool but when it is not used properly it can create serious debt problems.

Exercise care when using your credit.

You must exercise care when using credit and taking on debt. Find out the difference between good debt and bad debt, and learn how to establish credit and maintain a good credit score.

Be aware of hidden credit card fees.

Never fall trap to credit card tempting promotions. Don’t go for no Annual fees and but look for hidden fees and unexpected rate increases.

Take too much debt signal seriously.

Do you have debt that is bogging you down and keeping you from reaching your financial goals? Using credit and debt can be a powerful tool that allows you to buy a home, a vehicle, send children to college, and even provide leverage for other purchases, but when you accumulate too much debt, it can pose a serious problem.

Too much debt is injurious to health.

Uncontrollable spending and debt accumulation can affect your quality of life and your relationships with friends.

Minimum payment habit on your credit cards is dangerous.

It is dangerous and costly mistakes you can make with credit cards is getting into the habit of only paying the minimum amount due each month. While the minimum amount may be affordable, it will also cost you more money in the long run.

Budget and manage your cash flow.

You know your income and try to limit your wishes and dreams within your means. You think, plan and work hard for expanding your income. But you spend today as per your income.

You must make list of your minimum necessary expenses and prepare your own monthly cash flow statement.