These days, you can purchase just about anything online from the comfort of your bed, sofa or anywhere you happen to be. You don't even need your computer. Just a few taps on your phone can get a package delivered the following day from Amazon. The ease of online shopping has caused a dramatic increase in impulse purchases.
You might believe you're handling your credit card debt. However, what happens when another recession hits? Some experts are warning that the next one could begin as soon as next year. Whether they're right or not, it will happen eventually.
Many people feel like they'll be in debt until they die. Indeed, nearly 75 percent of people die with some debt. Let's look at what happens to your debt when you're no longer around.
If you've got a child going off to college this fall, you'll be interested in -- and perhaps alarmed by -- this statistic: 36% of college students in this country report that they have over $1,000 in credit card debt. That's according to a recent survey by AIG and EVERFI.
If you've got a significant amount of debt, paying off even one of those debts can seem like (and indeed is) a big accomplishment. Whether you've finally paid off a credit card, a car loan or something even larger like your mortgage, you might expect your credit score to increase.
It's easier than ever to put just about any expense on your credit card. You can pay your health insurance premium, utility bills and more with your cards. If you're able to pay off your credit card balance every month and get some free miles on your favorite airline in the process, this may be a wise move. However, for too many people, more places to use their credit card simply means more credit card debt.
If you have a child or other family member who is unable to get the loan or credit card they want on their own, they may ask you to be a cosigner or joint account holder. Before agreeing to do this, it's essential to understand what this could mean for you -- particularly if your loved one is unable to make their payments.
When credit card debt piles up, it's easy to believe that your entire financial situation is heading down the drain. While you're in a tight spot, it doesn't mean you should give up.
If you regularly use your credit card, it's important to closely monitor your statements. While you won't catch a mistake very often, these can occur from time to time.
If you've tried everything but your credit card debt continues to grow, it may be time to contact your issuer to discuss your situation. This is much better than missing payments, hiding from your credit card company and hoping things miraculously improve in the future.