First, let us really
understand how the plastic card "magic" of this work. We are given a
line of credit, with a maximum limit that can be charged to the card -
"credit limit". Each time the card is charged with any expenses
(transaction), we reduced credit. Monthly statement received gives us a choice,
whether to pay the balance in full, or only the minimum monthly payment (not
recommended). When we pay a monthly fee to the bank that issued the card, the
maximum credit limit be returned. However, holders of credit cards often pay
only the minimum payment amount of interest and principal balances owed, and
will not pay back the balance in full.
How likely a person is
to be "stuck"? For young people, the disease may begin owe this
unexpected way. The colleges of higher education, most of them given their own
plastic cards by parents as an additional card holder. Wow! Many of the items to
be purchased (for example, footwear and apparel brand, i-Pod, bags and fashion
items and the most recent) and feast entertainment or social activities that
are important. Is not very troublesome and inconvenient to ask parents loved
each time additional money required (was not a waste of money to pay the cost
of the phone anymore?). So, the easiest and fastest - Charges alone!
Could it have been in
the field of student debt is very confident and there is no doubt that they
will soon come to highly paid - debt would expire within a short time - only a
few years after graduating. Unfortunately, many graduates face the reality that
their future is far different from what was expected. Now that they're
comfortable with the number of monthly balances and realize that they are
trapped: kept rising debt can not be matched by an increase in their income
levels are bad.
Not only young people
who find themselves trapped in a situation like this. In fact, the adults were
mature enough to think also tempted by this credit facility. The ad features
new items and advanced the so-called "reward" for us! Yes, it is very
difficult for us to refuse the luxury of living with recreational items,
clothing and the most modern tools, which are often offered. In other situations,
the people who are out of work could also crashed in credit card debt - no
savings, credit cards are used as a facility to support the daily needs.
However, when they start work again, they realize that their credit card has
reached the maximum limit; repayment becomes a great burden.
Although we do not want
to think negatively, we will not prevent financial problems if we often ignore
the actual reality. The economic downturn makes people desperate and falls in
financial disaster. Only those who have been preparing for such a situation is
not good to be able to survive in a difficult environment. What should be done
to prevent ourselves from being part of the sad statistics?
First, let us really
understand how the plastic card "magic" of this work. We are given a
line of credit, with a maximum limit that can be charged to the card -
"credit limit". Each time the card is charged with any expenses
(transaction), we reduced credit. Monthly statement received gives us a choice,
whether to pay the balance in full, or only the minimum monthly payment (not
recommended). When we pay a monthly fee to the bank that issued the card, the
maximum credit limit be returned. However, holders of credit cards often pay
only the minimum payment amount of interest and principal balances owed, and
will not pay back the balance in full.
How likely a person is
to be "stuck"? For young people, the disease may begin owe this
unexpected way. The colleges of higher education, most of them given their own
plastic cards by parents as an additional card holder. Wow! Many of the items to
be purchased (for example, footwear and apparel brand, i-Pod, bags and fashion
items and the most recent) and feast entertainment or social activities that
are important. Is not very troublesome and inconvenient to ask parents loved
each time additional money required (was not a waste of money to pay the cost
of the phone anymore?). So, the easiest and fastest - Charges alone!
Could it have been in
the field of student debt is very confident and there is no doubt that they
will soon come to highly paid - debt would expire within a short time - only a
few years after graduating. Unfortunately, many graduates face the reality that
their future is far different from what was expected. Now that they're
comfortable with the number of monthly balances and realize that they are
trapped: kept rising debt can not be matched by an increase in their income
levels are bad.
Not only young people
who find themselves trapped in a situation like this. In fact, the adults were
mature enough to think also tempted by this credit facility. The ad features
new items and advanced the so-called "reward" for us! Yes, it is very
difficult for us to refuse the luxury of living with recreational items,
clothing and the most modern tools, which are often offered. In other situations,
the people who are out of work could also crashed in credit card debt - no
savings, credit cards are used as a facility to support the daily needs.
However, when they start work again, they realize that their credit card has
reached the maximum limit; repayment becomes a great burden.
Although we do not want
to think negatively, we will not prevent financial problems if we often ignore
the actual reality. The economic downturn makes people desperate and falls in
financial disaster. Only those who have been preparing for such a situation is
not good to be able to survive in a difficult environment. What should be done
to prevent ourselves from being part of the sad statistics?
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