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How To Avoid Excessive Credit Card Debt

Excessive credit card debt is one of the biggest problems in today's society. Many people get credit cards when they're in college, as soon as they're old enough to qualify. Having this sudden buying power can be too much for many people's willpower, and they go on a spending spree. This debt then accumulates because they have no way to repay it quickly.

Credit card companies are well aware of this, and they market their cards to the people least able to afford them. By letting these people rack up their balances buying the things they want but can't really afford, they get them hooked on making high interest payments for a long time to come.

At the risk of stating the obvious, the best way to avoid credit card debt is to never get a credit card. Having a card available to make an impulse purchase is too much temptation for many people, and they wind up living beyond their means.

Over the course of time, this will catch up with them and they'll be stuck making payments on high balances, paying outrageous interest rates to the credit card companies.

Not having a credit card is not always an option, however. They can be helpful in emergencies, and they're almost a necessity if you ever need to buy anything over the internet or by telephone.

The following tips will help avoid excess debt due to credit cards:

  • Compare credit cards and choose the lowest interest rates when signing up. The credit card industry is highly competitive and the companies often offer low interest rates to entice new customers. These offers aren't always easily found, however, so it pays to call them to see if they offer any special deals before signing up.
  • Don't carry your credit cards all the time. If you see something you want to buy, the temptation is a lot easier to fight if you can't just pull the card out of your pocket to pay. By the time you leave the store and go pick up your card, you'll have a better chance of overcoming the urge to spend.
  • If you have a real problem fighting the temptation, put the credit card in some sort of container, fill it with water and put it in the freezer. Having to thaw it out before using it will make it much harder to just grab it when you want it, but you can still use it if an emergency comes up.

If credit card debt is already a problem, there are several options for dealing with it. Debt consolidation loans, debt settlement services or even negotiating credit card debt yourself are several of the options available to you.

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