Friday, August 27, 2010

Erase Debt and Avoid Debt Burden.

We all know that some debt is necessary but it's how you borrow and what you borrow for that is the important thing. This tip that will help you to avoid the need to erase debt:

  •   Only take on only debt you can afford the repayments to and only buy items that appreciate in value when using borrowing. 

Do you have a large credit card balance? This is not good debt – and yes it is a debt as you must pay it back and the interest on credit cards are one of the highest at around 18 percent or higher.  An overwhelming credit card balance caused by your need to impress others is just a costly lie. 

  •     Living within your means is living honestly.  Make a promise to yourself to live within your means and do a budget.
  •   Rather than using your credit card for spending, save for the purchase.
  •  Always pay more than the minimum if you cannot pay your credit card in full.

Because of temptations and high interest rates it is important to control and erase debt on your credit cards.


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