Keep Clear of Credit Cards So Your Life Won't be All About Debt

If you're like most people, receiving your first credit card was akin to scratching the winning numbers on a lottery ticket. For doing absolutely nothing at all, you're suddenly in possession of free money with which you can buy you things you couldn't previously afford. By the time you realize the money is everything but free, you're hopelessly ensnarled in a revolving credit account, watching your hard-earned cash get whisked away as you struggle to find a way out of your financial dilemma. While All About Debt can help free you from the grasp of credit cards, staying that way will be up to you.

Rid Yourself of Temptation

Although paying off your revolving credit accounts with a loan obtained through All About Debt could have an overwhelmingly positive impact on your financial future, the exact opposite could be true if you run up the balances on your credit cards all over again. The easiest way to prevent this from happening is by not allowing yourself the opportunity.

Although most experts advise keeping one or two credit cards in case a financial emergency arises, statistics reveal the average American family has nine--which might explain why so many people are currently floundering in financial floodwater. Given the nature of revolving lines of credit and the convenience of being able to make large purchases on a whim, a cardholder can easily be surprised by a bill that doesn't fit into his or her budget. And considering that credit card companies have their own monthly due dates and different late payment policies, having several accounts makes it easy to confuse one with the other and lose track of due dates. A late payment will result in a mark on your credit report and a late fee; and if you can't afford the late fee, there will be additional charges and more blemishes on your credit report.

Avoid the Flood

Your best bet for staying on dry ground is to pick the two credit cards with the lowest interest rates and most desirable terms, and then take a pair of scissors to the rest. Then call the credit companies and close your accounts. Closing excess accounts does more than just remove the temptation of using them; too many open credit lines on a credit report can result in a rejected application ... and rejections lead to more rejections. Plus, make sure you ask your creditors for written confirmations that the balances have been paid off in full. Having these will save a lot of time and headaches if you ever find a discrepancy on your credit report.

If the temptation of having two credit cards is still too much for you to handle, you might want to consider taking them out of your wallet and putting them in a safe place. Having the cards out of sight might not make them out of mind, but at least you won't be able to use them for impulse buys. Obtaining a debt consolidation loan through All About Debt can give you a fresh start in your quest for financial freedom ... but steering clear of future pecuniary pitfalls will be up to you.