Is Your Credit Card Controlling You? 5 Signs Your Credit Cards Are Controlling You

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Having a credit card is almost a must nowadays. You need it to book a hotel, rent a car or shop online. "Having credit cards is smart if used properly, linked to building a good credit score." says Christopher Viale, Chairman of the Board of Directors of the Association of Independent Consumer Credit Counseling Agencies. Viale also warns that "the pitfalls of using credit cards, and not just for the purpose of establishing your credit profile, obviously involve the temptation to spend too much." Of course, excessive spending could lead to debt and potential damage to credit ratings. Here are five signs that your cards have ceased to be a credit-creating tool or an asset for earning points and rewards, but a debt instrument.

  1. You have trouble making the payment: If you have trouble making the minimum payment on your cards, this is a harbinger. Make sure to make the payments on time. Think about using money to make purchases while paying off your debt.

  2. You spend for rewards: the rewards that accompany the use of a credit card are advantages of using the card, but you should not spend to earn rewards. Do not forget that rewards are perks for the purchases you were already going to make. If you spend too much to earn an advantage, it may not be a great benefit if it damages your credit or budget.

  3. You stick to a lower than normal product: it's a red flag that goes beyond you if you can not claim cards whose interest rate is less than 18-20%. Strong credit ratings give consumers the right to competitive terms. So shop around to make sure you get a good rate.

  4. You have more cards than you need: The more credit you have, the easier it is to spend too much. Limit the number of cards you will have. If you have found a card that is best for you and fits your expenses, store old cards and do not use them.

  5. You use your card as a status symbol: Credit companies have developed luxury cards to catch the attention of visitors using vibrant colors or materials. These cards often carry high annual fees and often have high credit limits. The thrill of wearing a luxury card may soon fade if you have a low interest rate or if you spend too much

If you constantly steal Peter to pay Paul, but Peter and Paul still want to be paid, then you will probably have to find a way to satisfy them and eliminate them from your back. Finding an experienced lawyer is important to help develop a game plan for dealing with your credit card debt.


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