Credit Card Is Adding The Silver Lining To Your Pocket

In the new millennium plastic money or credit cards has rendered a new zing factor to your pocket. This has not only made you economically more flexible but subsequently added glamour to your financial image as well. No more bulging out hip pockets with excess of liquid cash. Instead, the slimmer your pocket; the smarter you look. But behind all these inviting attributes of credit cards there seems to be a trap laid out for people who are impulsive and careless.

The usage of credit cards have been on the highest spree this decade and along with the usage, the debt rates has also somersaulted sky high. Majority of the citizens of the U.S. owe thousands of dollars as credit card bills. While gross dollar volume on bank credit cards has increased 2.5 times since 1994, the average transaction has increased about 16% over the past decade. The average transaction on a general purpose credit card, carrying the VISA, MasterCard, American Express, or Discover brand, is now approaching $102, compared to $87 in 1994.

23rd Dec. 2004 is termed as Black Thursday and is poised to be a voluminous day in credit card usage in 2004. On this day Americans have used credit and debit cards to pay for nearly $12 billion. This computes to an average of more than $8 million per minute; however it could easily top $20 million per minute during peak hours.

In the present era credit card debt carried by an average American is about $8,562 (Approx.). The total U.S. credit card debt in the first quarter of 2002 was approximately $60 billion (Approx.). Total finance charges Americans paid in 2001is $50 billion (Approx.).

Recently, the New York Times examined how the use of credit has taken off dramatically in the United States since 1990. While the number of people holding charge cards grew about 75 percent. This went up from 82 million in 1990 to 144 million in 2003 and the amount they charged during that period grew by a much larger percentage. It is approximately 350 percent, from $338 billion to $1.5 trillion.

Nellie Mae, the nation's largest maker of student loans says that the average undergraduate student has $2,200 in credit card debt. That figure jumps to $5,800 for graduate students. David Sandor, a vice president at Visa USA, says that only 54 percent of college students pay off their credit card balances every month.

The average credit card interest rate is around 18.9%. Approximately half of all credit card holders pay only their minimum monthly requirements. There are a total of 1.2 billion credit and retail cards in North America. The number of credit card holders who declared bankruptcy last year was a huge 1.3 million.

Credit cards have undoubtedly given us better mileage in handling our finance; it has made us mobile and flexible in cash handling. But it is extremely important to make proper utilization of this plastic money. There lies a big black trench of debts if you use it recklessly. These slim plastic cards can often be the cause of bulk debts if one is impulsive or unwise.

For better insight in this topic please view: http://www.debtconsolidationcare.com/c ard-starter.html http://www.debtconsolidationcare.co m/card-counseling.html

Janet Williams is a contributing writer to http://www.debtconsolidationcare.com/ And is currently working on a special section in the site called do it yourself where you can eliminate your debts and become debt free... sarah@debtconsolidationcare.com

---

Free Credit Reports Now Available From the FTC

The Federal Trade Commission (FTC) has set up a new website (www.AnnualCreditReport.com) where US residents can obtain free copies of their credit reports from the three major... Read More

Credit Card Companies Are Out for Your Money

You're probably thinking "Tell me something I don't know" but in this time of low interest rates you might be thinking that you've got a great deal... Read More

How You Can Avoid Becoming A Victim Of Identity Theft

To reduce or minimize the risk of becoming a victim of identity theft or fraud, there are some basic steps you can take.The most important one is... Read More

Is Your Credit Score Being Held Against You?

Credit Scores That HurtIs your credit score being held against you?More and more the staples of life depend on your credit score. Your mortgage, insurance premiums, employment... Read More

7 Consumer Credit Laws You Should Know if You are Trying to Repair Your Credit

There are seven consumer credit laws you should be aware when dealing with your credit.1. The Truth in Lending ActThe customer had to be told the true... Read More

5 Things Your Credit Card Company Keeps Quiet About

Credit Cards can bankrupt you if you let them run away from you. The various Credit Cards companies are in it for profit so they will not... Read More

Have You Ever Opened a Checking Account?

Maybe some of you are saving it in your trusty piggy bank, under your mattress or way back in a sock drawer. Although I'm glad that you... Read More

Credit Repair Scam - How To Avoid Being A Statistic?

A good credit history is critically important for the consumer. A bad credit will prevent you from getting a business loan, owning a home, or even a... Read More

Student Credit Cards 101

If you're a college student, you probably already have a credit card. If not, you may have plans to get one or more soon. So why should... Read More

Why Should You Use Credit Cards

Believe it or not, the way society, especially the commercial side, is set up these days, the only alternative to using credit is to pay cash for... Read More

The Exact Action To Take When You Find Errors In Your Credit Report

There are times when you may be turned down for credit and you do not understand why.According to the Fair Credit Reporting Act you are entitled to... Read More

What To Look For In A Credit Card

When you are deciding what type of credit card to get it is important to compare credit cards to each other and find the best deal for... Read More

Credit Card Entrapment - The Secrets are Out

Have you ever wondered why your credit card bill is so high and you can't seem to pay off the balance? Well you are not alone in... Read More

Stop Credit Card Offers

You can stop receiving credit card offers in the mail! It's really easy to do - just phone 1-888-567-8688 and follow the prompts and provide the requested... Read More

Triple AAA in 30 Days

Have you ever wonder about how to get good credit with spending alot of money. Well here is a little secret I used to get my credit... Read More

The Advantages of Credit Cards

There are many evils associated with credit cards, but there are benefits that are hard to ignore. One benefit is having the credit card company act in... Read More

Collection Agencies: What Do They Do?

Collection agencies are businesses that collect past-due bills and accounts receivable for other persons or businesses in exchange for a fee. Collection agencies charge for their services... Read More

Trying to Land a Job? Poor Credit Scores May Hurt Your Chances

Many employers are now looking at an applicant's credit report for hiring purposes. During an interview process a potential employer may request your written consent to access... Read More

Identity Theft - How to Protect Yourself

"Like the tan? I got tons of sun on that Caribbean cruise. First class tickets to Florida and back! Nope, not an airline upgrade. 5-star service all... Read More

Credit Repair Scams

"Erase Bad Debt !""Remove Negative Items From Your Credit Report"You've probably seen these headlines and others just like it promising to clean up or "fix" bad credit.... Read More

Why Is It important!

Your credit is the most important thing you have other than your breathe. There are three types of people in this world. There are those who have... Read More

Your Credit Rating and How To Check It

There is a lot of confusion surrounding UK credit ratings, credit scores, credit blacklists, credit reports, and credit files. This guide to your credit rating aims to... Read More

Credit Card Debt: How To Control It

A lot of people spend more money than they can afford to repay toward their credit card debts. To regain control over your finances and to manage... Read More

What is Credit Repair and How Can It Help You?

There are millions of consumer credit reports on file from mainly three major reporting bureaus which include Trans Union, Experian, and Equifax. These credit gathering agencies store... Read More

Understanding Your Credit Score

When you apply for credit one of the first things almost all credit officers do is check your credit score. Although not all of those officers explained... Read More

How To Eliminate Credit Card Debt

There is almost nothing more troublesome than having too much debt to pay each month. Consumers incur debt for many different reasons. Sometimes illness, accidents, or just... Read More