Check out the 5 financial tips for the 4th week of January 2012

Tip no 1 – “Shop till you drop” is not the mantra you should follow if you want your credit card debts to drop.

If you want to reduce your credit card debt burden, then you’ll have to stop chanting the mantra “shop till you drop“. In fact, you’ll have to reduce your shopping endeavors. You need to visit your favorite shopping stores for purchasing only the necessary items. Plan your shopping trips in advance so that you know about the items which need to be purchased. You can’t afford to waste money on useless shopping. Curtail your luxury expenses by all means, and make it your goal to save money. Use it to pay off your debts. Read the rest of this entry »

For most people, shopping is an integral part of the festive season. In a recent survey, it has been found that nearly 140 million people have shopped to their hearts’ extent on Black Friday in the previous year. However, with debates surrounding the debit card fees, most people may turn toward the credit cards for shopping during the festive season. Nevertheless, too much usage of credit cards can put credit health into risk. Glance through the article to know how you can take special care of your credit health during the festive season.

Safe guard your credit during the holiday season

If you’re planning to use credit cards for purchasing various items during the festive season, then chalk out a financial plan right now. This will help you steer clear of credit card debt, and protect your credit simultaneously. You can begin your New Year on a good financial start.

Here are the 4 tips to avoid credit card debt hangover and shield your credit at the same time. Read the rest of this entry »

According to a recent study, credit card debt dropped nationwide by $93 billion in 2009. Though this is good news enough, one should know a hard fact. The industry experts are of the opinion that the charge-offs reached at its highest rate in the later part of the year.

The use of credit cards has been under scrutiny since the recession set in. After scrutiny it was found that 90% of the decrease in credit card debt was because of bad debt being charged-off. This write-down reached a record level in February, 2009. It reached to a level of 8.82%, which is 300 points higher than that of 2008. Thus, in reality the total decrease in debt is only $10 billion.

On an average, each American household has about $10,700 in credit card debt and 9 credit cards in total. According to the Federal Reserve Bank of Boston, about 56% of the consumers have been carrying unpaid balance on their credit cards in the last 12 months. Even the delinquency rate has increased. It had already crossed the 6% mark in February last year.

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