If you are ignoring bills and trying your best to ignore your credit card debt, it may be out of control
Excessive credit card debt occurs for several reasons: an emergency, educational purposes, a few innocuous shopping trips or even a seemingly small incident that snowballs. Whatever the cause, many people are faced with more credit card debt than they would like. Consider the following signs to determine if your debt is out of control.
You ignore the debt
Your bills pile up, and so do the phone calls that you always have a reason not to answer. You and your spouse have an understanding not to discuss money. However, burying your head in the sand works for only so long. Meanwhile, your credit card debt is accumulating, and your credit score declining. You may be so anxious about the debt that you?re too scared to find out how much you owe.
You hop from card to card
No sooner have you transferred the balance from an old card onto a new one that you get a new card. In theory, this tactic can help cut your interest payments, but in reality, the transfer fees cancel out your savings. You make no progress toward reducing your principal.
You can?t nail down a firm repayment date
If ?someday? is when you plan to pay off your credit card debt, you?re possibly in trouble. Instead, nail down a date to regain control and to give you a tangible goal and a sense of progress.
Get back in the driver?s seat
After you?ve realized it?s time to focus on your credit card debt, list each debt, its due date, interest rate and minimum payment. Every month, pay the minimum on each. Meanwhile, use extra funds to pay down the card with the highest interest rate. Do not get any new credit cards.