Wednesday, July 2, 2008

Credit card debt: Causes and Prevention


Now a day, many people are holding one or two credit card. Why many people are hold credit card on hand? That is a tends of the new generation.Isn't correct of this opinion? Some more, People are think credit card are make user convenience and easy, but they didn't think about the affect of late payment, interest change for using one time, and etc.
Today let us discuss, what is the cause and how to prevention of the credit card? Firstly, say about the cause of credit card debt, if using credit card user or consumer they would not know end of the month, where the money are use, how much already use. That is a big problem for user, because they can not really know about the money are allocated. When end of the month, they received the receipt of the bank and the interest of credit card, they will be shock. Maybe for some one who are rich, they are not care about this, but is for normal office worker, the salary is fixed. How does there cover the diary expense and interest rate of credit card. However, this is the cause to make people bankruptcy. Would you think about this question before apply credit card and when use the credit card? For who those bad in manage personal financial, customer must think the risk of interest and payment.
So, after know about the cause credit card, what is the good or better solution for prevention to be credit card debt?
Firstly, user must list down or wrote down expense of spend and know how much of the salary u have per month. The salary you have, is cover for expense such as on rental. Not only of the expenses of rental, the monthly expenses can included such like electricity and water, petrol, refreshment. This kind of question ourself must known..After, this kind of expenses, how much balance that you will leave. Isn't enough for cover credit card interest and payment that you make ? This is the simple prevention to be credit card debt, for good on financial skill of management, maybe will not face the problem of financial and bankruptcy.
Lastly, i hope that all of my friend are having good personal financial and don't be credit card debt once a day later. Start on now, improve some knowledge of credit card debt and what is the causes and prevention. Must aware what will happened when be credit card debt.

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