Tuesday, April 14, 2009

Credit Card Debt can Cost you in More ways than One

"The borrower is slave to the lender" according to Proverbs 22:7. The NBC Nightly news showed this truth extremely well on tonight's show. The story told haw many banks were doubling interest rates on credit card customers in good standing so that they could make more money. One man had always paid on time, and paid more than the minimums and Bank of America notified him that his rate would increase from 7% to over 12%. We don't have any credit card debt and I urge any of you that do to pay them off as quickly as you can. If you buy a $1200 computer with a credit card and make minimum payments, you will be paying for that computer many years after the computer has gone to the junkheap.

If you are committed to reducing this debt, but don't know how, watch for my next post where I will go though the basics of a spending plan, AKA a budget.

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