The Best Thing You Can Do For Yourself Is To Learn How To Responsibly Handle Your Money. Here’s How to Avoid Getting Yourself Into Credit Card Debt

student-loan-debtOne way to avoid getting into debt is to be sure that you set money aside each month into a savings account. Lots of people end up in debt because they don’t save. What then happens, is that they end up having to charge the amount of whatever the emergency cost them. For example, if their car needs a new transmission they now have a few thousand dollars of credit card debt. Debt can happen so quickly that its scary. Set money aside each and every month into your savings; you’ll be glad you did.

Only charge what you can afford onto your credit card. For example, don’t buy a $200 top if you only have $100 in your bank account. A good rule of thumb is that if you wouldn’t be able to pay for it with straight cash, don’t put it on your credit card. images

Don’t do a balance transfer just because you can, as balance transfers cost money. There are situations, in which it makes sense. For example, if you are transferring the balance to a credit card with a lower interest rate.

Each month, always pay your balance off in full. This is the best way to avoid credit card debt. If you never carry a balance, you can never be in debt. Then you won’t have to worry about whether or not you can afford the minimum payment each month. You’ll sleep a lot better at night!

Lots of people end up in credit card debt because they didn’t realize that they were headed in that direction. Be sure that you frequently check your credit card balances online so that you can keep a good track of your spending. images-1

Pay close attention to your credit card agreements! When you get one in the mail, don’t just look at the limit. Read the fine print. Know what the APRs are, when you’ll be charged a fee, how the interest will be applied to your credit card account, and also the yearly fee of owning the credit card. Lastly, one of the best ways to stay out of credit card debt is to limit yourself to one or a few cards. Many credit card holders get into debt when they find themselves owning multiple credit cards.


  1. DEFINATELY look at the APR and interest rates when applying for a credit card. I didn’t, and I ended up paying so much money in interest that it was ridiculous. Find a card with great interest rates. Don’t be fooled by sign-up bonuses.

    • Hello Eric. There are also other types of consumers who apply for a credit card with high interest rates because they have lots of perks. They know the interest rate is absurd, but they’ve always paid off their cards and never expected to have to carry balances. This is one of the biggest ways people get into trouble. You never know when you are going to have to use your credit card to carry a balance. Choose cards wisely, and only open those in which you need.

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