Don’t Become A Credit Card Debt Statistic

Updated: May 27, 2019

At first glance, credit cards are one of the most convenient things in the world. You can get what you want, when you want it, without having to carry large amounts of cash or even having the entire amount at the time of purchase.


While some borrowers are able to comfortably budget and manage their credit card spending, that’s not the reality for most American households. According to Nerdwallet, “The average U.S. household with credit card debt has an estimated $6,929 in revolving balances, or balances carried from one month to the next.” Many people are using their credit cards for large purchases like vacations, vehicles, and even weddings.


That being said, don’t despair! By using your credit card wisely, you can enjoy all the convenient benefits of a credit card without becoming a statistic of credit card debt.


Only have one credit card

You can barely walk into a store without someone offering you a deal or a percentage off if you sign up for a shiny new credit card. It almost seems like a no-brainer. You’ll accept their offer, take advantage of the deal and then get rid of the card. But the truth is it hardly ever works out that way. You become accustomed to having access to more money. You like having the ability to get more things. Except at the end of the month, when you don’t just have one credit card bill to pay, you have two or three or more and you certainly can’t afford to pay them all off. Which brings us to our next point.


Pay it off in full every month

By paying off your credit card in full every month you avoid interest rates, which average about 16.71% plus late fees. Some people do this by saving and paying the entire balance at the end of the month. Others pay every two weeks, while still others weekly to make the hit less painful. It may take some work to get your card balance down to zero, but once you’re there, you’re in the clear and can stop losing money on interest!


Know your statement closing date

The way your credit card works is, balance comes due 21 days after your statement is mailed to you (the end of your billing cycle). That means if you make a purchase the day before your cycle’s closing date you’ll have about 21 days before it comes due. However, if you make the purchase at the beginning of your billing cycle, you will have that month plus the 21 days before the payment is due. Knowing your billing cycle can help you figure out exactly when to make larger purchases to give yourself ample time to pay.


Save up for large purchases

As much as you might want to give in to the temptation to go ahead and buy that large screen TV – we urge you to wait. The wise thing to do is hold off until you actually have enough money in the bank to pay for it before swiping your card. It may be less fun in the short term, but the long term savings in interest charges are way more enjoyable.


4 views

ABOUT | RESOURCES | BLOG | PRIVACY POLICY | UPLOAD | CONTACT

Save Source, LLC., 3 Whatney, Irvine, CA, 92618

© 2019 Save Source, LLC. | All Rights Reserved.

  • Facebook Social Icon
  • Instagram Social Icon
  • Google+ Social Icon
  • Twitter Social Icon
BBB A+ 1.png

Save Source LLC is a debt settlement company that operates in some but not all states in the United States, Save Source LLC does not accept any clients who do not meet with a consultant for an in-person consultation. If you reside in a state where we do not accept clients in, we may be able to refer you to another company for assistance. 

Save Source LLC negotiates unsecured debts on behalf of its clients and does not assume any of its clients’ debts, make any monthly payments to creditors on our clients’ behalf, or give clients tax, bankruptcy, accounting, or legal advice. We do not provide credit repair services. Please contact a tax professional to discuss potential tax consequences associated with settling debts for less than the full balance. Please read and understand all of Save Source LLC's Program requirements and Save Source LLC's service agreement before enrolling into Save Source LLC's Program.

Save Source LLC is not a debt relief agency pursuant to the Bankruptcy Abuse Protection and Consumer Protection Act of 2005, 11 U.S.C. 101, et. seq., and does not provide bankruptcy assistance to consumers. 


The use of debt settlement services will likely adversely affect your creditworthiness, may result in the balances of your enrolled debts increasing due to the accrual of legal fees and interest on your accounts and you being subject to collections actions or lawsuits brought by your creditors. The settlements we negotiate on behalf of our clients resolve the entire account, including all accrued interest and fees. We cannot guarantee that we will resolve your debts and results will vary based on your individual circumstances.