On The Average, An American Consumer May Have 4 Credit Cards In His Wallet

Category: Finance, Credit.

People in the United States become victims of debt because of monthly expenses that need to be taken care of.

As a matter of fact, the US Federal Reserve gives statistics that 40% of families in the US spend more than their monthly budget. There really is a notable number of people in the US that are spending above their budget, which leads them to be in debt to lots of people or companies. Did you know why people have so many debts in the US? Experian, a known credit score provider, even presented data that explains 10% of American credit card holders have about 10 credit cards! The answer lies in their credit cards, as well as the unmonitored spending on these plastic items. On the average, an American consumer may have 4 credit cards in his wallet.

Every year, billions of new credit card offers are sent to American consumers, a market research, according to Synovate firm. This may be because card companies always offer tempting perks and rewards for new applications. Here are some debt help hints you can think about. If you already have this written down and sorted out, you should attempt to stick with it as best as you can. First, why don t you plan a monthly budget? Know that the biggest expenses may be on your home rent or mortgage, transportation, food, and other utilities. A lot of people put money in a savings account but they spend it almost immediately.

Here is another tip: open a savings account that you will actually be saving on. The reason why you put this up is that you will be forced to set aside money that will be used in case of emergency. Many people may not know it, but their dependency to credit cards causes them to fall into debt. It is also a very smart decision to opt to use cash for transactions instead of credit cards. If you really want to get rid of your credit card debts, then you should apply for a debt consolidation loan. The lender will set a monthly payment scheme for you, with an interest rate that is more welcome than having to deal with the rates of credit card companies.

In this way, you can erase all you card debts, cancel those cards you will no longer be using, and only owe one amount to your lender.