How much of the $13,500,000,000 do you owe?
Bloomberg is reporting that consumer borrowing has increased in March as Americans spend more of their hard earned money taking out car loans and charging to the credit. Falling real estate values and high gasoline rates are to blame, says Bloomberg at U.S. Consumer Credit Increased $13.5 Bln in March
It’s not that bad to use credit cards to make purchases as long as you pay off the credit within your billing period. Every credit card will usually have a date when the finance charges are calculated, the secret not paying interest on your purchases is to figure out that date and pay off whatever you’ve charged. It’s really not rocket science to do it, you can read your billing statement or give your credit card company a call and ask them when their finance charges are calculated. So you can spend money on gas on a credit card and make a single payment for your gas budget every month. Some credit advisors actually say paying off the balance every month on your credit card increases your credit score. I know from my own experience with this that you definitely build a good relationship with that particular credit card company where you get credit limit increases and access to special cards that have extra rewards.
Be sure to pay the balances off before that date, or you pay the finance charge. If you pay the finance charge it defeats the purpose of the single transaction and actually costs you more money for gas.
If you are having a hard time making your mortgage payment:
1) Get on a budget plan immediately to try to save your house.
2) Contact your lender and explain the situation.
3) Look around for excess that you can sell on sites like Craigslist or ebay
4) Consider speaking with a real estate agent to put your house on the market. Selling it and downgrading to a house or rental that you can afford is a lot better than foreclosing and ruining your chances of making major purchases for a long while.
Continue coming back to this site (wealthjump.com) for more information on how you can build your credit and get control of your budget.