When Not to Use Credit Cards

 

Always be Careful with the Plastic

 The proper use of credit cards is an essential part of financial wellness. People will use their plastic because they do not want to carry around large sums of money and that makes it a personal safety issue. There are times when you will need to use the credit card, and you do need good credit ratings for mortgages and other major purchases. However, you must keep in mind you will spend more with plastic that you would with cash. There are some situations where you should think twice about using the credit card.

• Do Not Use It When You Are Depressed. It is a financial equivalent of binge eating. Folks who are feeling down the dumps will buy things in order to feel better about themselves. Depression can be a serious problem but the spending on credit is not going to solve anything. In fact, you may be even more depressed when you see the bill at the end of the month.
• Resist The Temptation If You Are Unaware Your Credit Limit. This is where impulsive buying with the credit card causes problems. Using a credit card that has been maxed out can result in penalties or even an automatic increase in the rate of interest to be paid. Be sure you know what your limit is so that you don’t accidentally go over it.
• Don’t Use Your Credit Card If You Already Have A High Balance. This pretty much goes hand in glove with the last point made. If your balance is already going out of control, adding more purchases on to it will not help. It will only increase your minimum payments.
• Be Very Cautious. The crime of credit cards skimming is becoming very serious. If for any reason you doubt the integrity of the person you are giving the credit card to, or concerned about the ATM machine you might be using, then it is wise not to place your credit card at risk.
• Use Credit Cards When You Are Sober. Granted, you may be going out to a bar with friends but be careful of the use of your credit card. Buying a round of drinks can be extremely expensive.

Financial Advice Helps

Credit cards all the same being used more and more. Many people, particularly those who are using the credit cards for the first time, don’t appreciate the problems they can fall into. Countrywide Pre-Paid Legal Services has a financial wellness program to help people get a better understanding of the use of credit cards. Counselors are available to provide information and ideas on how to best use credit cards. If a person has already fallen into credit card trouble, these financial wellness professionals can also help develop a strategy for getting out of the cash quicksand.

Assistance is immediate. No one in a financial wellness program sponsored by Countrywide has to wait for the help they need. We expect our counselors to given priority are plan the program, and our administration is intentionally made easy to provide service faster.

Yes, it is true that you may need to use credit cards now and then. The important point to remember is to not let the plastic jeopardize your financial moments. The type of financial wellness help we provide can give you a better grip on the use of those cards. It is all about seeing to it that you do not suddenly fall into a pit of debt which appears to have no escape. Countrywide has other financial wellness options which can help prevent problems with debt and cash flow. We encourage interested parties to get in touch with us at their earliest convenience