Comments on: Credit Card Christmas: Resist the Temptation

By: Merry Christmas from Credit 101! « Credit Cards, Credit Reports, and Debt Topics

Wed, 24 Dec 2008 13:08:52 +0000

[...] that you will do that with your personal finances and your credit cards in mind. Even if you had a credit card Christmas this year, it’s not too late to change things. Look at your Christmas, and consider what is [...]

By: Consumers Cut Back on Holiday Spending « Credit Cards, Credit Reports, and Debt Topics

Mon, 08 Dec 2008 18:26:30 +0000

[...] and save money during the recession. Additionally, there is evidence that cash is supplanting the credit card Christmas as well. There are concerns about getting into further debt at a time when the economy is so slow, so [...]

By: BillShrink Can Help You Compare Credit Cards « Credit Cards, Credit Reports, and Debt Topics

Thu, 04 Dec 2008 19:32:10 +0000

[...] possible, the best thing to do is to avoid a credit card Christmas if you are already in debt and pay a balance. If you want the reward points, and you do not carry a [...]

By: mmarquit

mmarquit — Thu, 04 Dec 2008 19:28:23 +0000

Thanks for weighing in William and CFP! I agree that short term fixes for the economy — like continued spending — won’t work long term. At some point things really will reach a true tipping point, and there won’t be anything we can do about it.

I like the idea of a debt gift. Anything that you can do to help you pay off your debt faster is a good thing.

By: San Francisco Certified Financial Planner

San Francisco Certified Financial Planner — Wed, 03 Dec 2008 18:12:31 +0000

Don’t overspend on your credit cards – credit card debt is out of control – don’t let it take any further control of your life. In fact, give yourself a Christmas Debt Gift and Make it a regular practice to call your credit cards to ask for a lower rate. I have one client who owes over $20,000 on a Visa that was at 18%. He spoke with a ‘rate specialist’, touting his rising credit score and declining balance and got his rate cut in half, from 18% to 9%! His monthly interest charge was instantly reduced by $150, which will help him pay off his debt even sooner.

By: William

William — Wed, 03 Dec 2008 17:30:22 +0000

“While going on a debt-fueled spending spree may be “good” for the economy, it certainly is not good for your individual personal finance situation”

I’d say it’s not especially good for the economy either. It might prop it up in the short term, but as long as it’s being funded with more debt we’re just setting ourselves up for more of the same problems down the road, only magnified.

People just have to suck it up and quit spending money they don’t have. Unfortunately, we’ve been overspending for so long now that it’s become second nature.

By: mmarquit

mmarquit — Tue, 02 Dec 2008 02:53:15 +0000

That’s very true. So many of us make these mistakes starting out. I sure did! And you are right about lowering your rate. It works in many cases. Unfortunately, right now the technique isn’t working as well because it’s harder to get approved for a new card with a lower rate.

By: Chris

Chris — Tue, 02 Dec 2008 02:20:18 +0000

I can’t agree more than to resist the temptation of credit cards. I wish I was wiser earlier. Unfortunately, I’m trying to get myself out of the debt (by trying to earn some extra income as posted on my site).

If you DO have credit card debt and are trying to reduce it, you can contact your credit card company and let them know you found more competitive interest rates and ask them to lower your rate. Note that this only works if you have a good history of ontime payments and have been their customer for over a year. I learned this tip from one of the books I read.