The Truth About Credit Cards Canada Debt
Did you know that credit card debt is responsible for most bankruptcy filings in Canada? Far too many Canadians owe more than they can afford when it comes to credit card debt. If you are starting to feel like you are suffocating from credit debt, don't file for bankruptcy. Instead, learn the truth about credit cards, and learn how to get out of debt.
How do people get into the credit card debt trap? As you may know, it's really an easy trap to get into. How many times have you purchased items that you can't really afford? How often do you pay off your charge card balance in-full every month? If you are like most people, you probably know all the answers to these questions. So, the question is: how do you get out of credit card debt?
- Stop Using Your Credit Cards. Period. Sure, credit cards are convenient when it comes to making online purchases, booking flights, and reserving hotel rooms, but if you are in debt you shouldn't be charging these items to a credit card which may take years to pay off.
- Start Paying Off Those Cards. This may mean that you have to work extra hours, pick up a part time job, or find a way to cut down on monthly expenses. No matter how you do it, put every spare dime you have towards those cards. The faster they are paid, the less interest will be paid in the long run.
- Speak With A Credit Counsellor. These financial experts can help you make a financial plan that works for you. You may find that devising a way to pay off debts is actually easy to do.
- Get A Personal Loan. Instead of skipping another credit card payment, opt for a personal loan that will allow you to consolidate your debt. These loans can cover a large chunk of your credit card debt, and they help to rebuild your credit too. Additionally, these loans have a fixed end term, so you won't be stuck in the credit card trap. Simply look for a personal loan lender that's reputable, apply for a loan, and never miss another payment again.
- Learn To Use Cash. Cash? What's that? Remember that funny coloured paper? Well, it's time to whip it out once again. By using cash, and only cash, you can ensure that you won't be tempted to use those credit cards - leave your cards at home when you go out!
Get serious about your credit card debt. Most people find that (by following the steps listed above) they can get out of debt within two years. Two years may seem like a long time, but you'll be able to breathe freely once all your debt has been erased!
