Can credit cards make you a millionaire?Credit card debt is a grueling reality for many. As gradates from college or grad school, or any young adult, looking to start a career and/or potential family, the weight of credit card debt can literally and figuratively carry is certainly a burden. Student loans alone have increased over 8% in the last year.

Many young adults are unaware of the dangers of credit cards, and how to appropriately use them to not accrue more debt on top of what may already be very present for them. The reality of debt among American households is only increasing; statistics show that in the last year there has been a 3.3% increase in credit card debt, creating 8.8 billion dollars in national debt, and average of $15,611 per household, just from credit cards.

As interest accrues the interest paid quickly exceeds the cost of the item that was initially charged. It is easy to think that paying it later is more appealing. However, this can often lead to thousands of dollars in extra, and unnecessary expenses.

What To Do With Credit Card Debt

How do we get out of this cycle? Well, some curriculums have suggested we teach financial literacy in high schools, and require students to pass the course in order to graduate. The counter argument however, recognizes that teachers themselves may not be equipped to offer truthful information to their students. Is it ethical for a teacher that had $50,000 in debt to provide this education for students?

General advice outlines several basic do’s and don’ts in order to have a better handle on debt and begin to reduce owed debt the smart way.

1. Don’t pay just the minimum: this is often an easy trap to fall into as thirty-five dollars a month in comparison to the $500 that is due becomes far more appealing. As mentioned above, this can quickly add up. The unpaid difference does not go away. It only gains interest and will cost more in the future.
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The following is a guest post by Brett Chatz who is a contributor to CFD trading company – Intertrader. If you would like to write an article for Money Q&A, please visit our Guest Posting Guidelines page.

Protect Your Plastic from Criminals

Credit card safety is paramountThe widespread usage of credit cards has given way to a thriving underworld of criminal syndicates. Fraud is more prevalent today than ever before, and the technological sophistication employed by fraudsters is becoming increasingly more advanced. Protecting your credit cards is important, since they offer you all the convenience of a cashless banking system.

For the most part, credit card management is really a no-brainer – yet millions of credit card frauds are reported every week. The priority is the protection of your credit card details, and the integrity of your financial information. Once either of these has been compromised, potential fraud can ensue.

How to make your credit card safer?

Nowadays, most folks have several credit cards in their wallets. These include American Express, Diners Club International, Visa, MasterCard, Discover cards and frequent-flier credit cards etc.

However there are also many in-store credit cards offered by major retailers such as Target, Macy’s, Staples, Gap, Nordstrom and others. As you might imagine, protecting all of these cards takes some doing.
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