Federal Debt Relief System knows a credit card may seem like the perfect partner to anyone with an empty wallet staring longingly at a pair of shoes with just the right fit or the newest Xbox videogame. But beware; if you're someone without a budget--or self-control--jumping blindly into a relationship with this piece of plastic can leave you badly burned.
If you don't understand what you're getting yourself into, you're not ready.
So what is it about credit cards? They seem like the perfect solution for those of us practically living paycheck to paycheck, right? How many times have you wanted to book that flight to Europe but just didn't have the funds right now? This is the beauty of charging; immediate gratification. But there is a downside to having the ability to buy whatever you want, whenever you want.
Just as compound interest is your best friend when you're saving money, it's your worst enemy when you owe money. If you can't afford to pay your credit card bill, little fees for things like late payments and going over your credit limit--not to mention interest itself--will cause your balance to balloon. Not only will your sweet plastic love affair turn sour, you could carry the load of credit card debt the rest of your life.
Let's say you're about to spend $2,500 on a shiny, new flat panel HDTV (That's what I'm looking at) with a credit card that carries an annual percentage rate (APR) of 20%. If you're like many people, you may choose to pay the minimum on your card, which is generally about 3% of the balance, $2,500 in this case. If you pay the minimum $75 each month on that $2,500 you will end up paying total interest of $1,180, and it will take more than four years to pay off.
Credit cards are sneaky little guys who deceive, entice and then entrap it’s victims in an endless banking scam. Unlike the fixed interest associated with savings accounts, credit card interest is variable and can change--mostly higher--at any time. On some cards, if you miss a payment your APR may go up substantially. In addition, that attractively low APR a credit card promises when you sign up will probably at least double after the introductory period is over. Credit cards also hit you with fees if your balance goes above your credit limit.
Credit cards can be a great companion and offer many benefits. But be smart about what you can afford to charge, and stay on top of your payments. You don't want to find yourself head-over-heels in a relationship that holds you back for the rest of your life.
Federal Debt Relief System is ready to defend and restore your family’s financial freedom.
Learn more at Federal Debt Relief System now.
1 comments:
Federal Debt Relief System totally gets it. These guys were able to explain to me the ridiculous truth about the US Banking system and how they create money out of "thin air." Only to hold us accountable when it comes to paying back outrageous amounts of interest on top of the money we borrowed.
It really makes me mad when I think about how many times I've borrowed money thinking the money I was borrowing was from the bank itself only to find out the only asset being exchanged was my signature and promise to pay back this imaginary money.
It's no wonder our country is in the state that it's in with big businesses and government making all the wrong decisions for people like you and me. Do yourself the favor and check out Federal Debt Relief System, if anything ... TO GET INFORMED!!!!
You can find them at http://www.fdrs.org/
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