Amanda McCormick was in debt $30,000 on just a few credit cards. Similar to a very expensive loan, her debt could have been avoided if she followed one simple rule. If you can’t pay it off right now - buy it later.
So, make sure you choose credit cards with low interest rates and no annual fees. Also, if you do get into trouble, consumer credit counselors can help repair your damaged credit score - which measures the history of your credit transactions. A bad score can make it difficult and expensive to get loans, so make sure to check your score at least once a year.
Amanda McCormick is a senior at Florida State and a server at a local restaurant. She used credit cards to help pay for her living expenses, which spiraled into $30,000 of debt. Now, she’s working with a consumer credit counselor to get back on track.
"For the big things, put it on the credit card—but you’d better be able to pay it off that next month."
"Even if you pay just $10 more than the minimum monthly payment, you could significantly reduce the number of years you're paying and the amount of interest you're paying back."
"Your credit score literally sets the interest rate on any money that you borrow."
"One of the best things that you can do is to check that credit report every year for the rest of your life."
Tips for controlling debt and credit scores.
Take the Your Money Counts® quiz to see if you have a problem with credit.
Use the Credit Card Payoff Calculator to see what it will take to payoff your credit card balance.
Learn everything you need to know about choosing the right credit card for right now.
Find out how many details you know about those little, handy pieces of plastic.
Learn the basics about your credit score.
Find fun activities to help your students to learn about credit cards, debit accounts, student loans, and more.
Learn how to talk dollars and cents with this list of financial terms.
Do not spend more than you earn. It's just that simple. Get smart and avoid debt with some helpful tips.
Now is the time to take charge of your personal finances. Here are four easy ways to control your credit and debt: