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

---

What Is the Fair Credit Reporting Act and What You Should Know About It

The Fair Credit Reporting Act (FCRA) and the recent update... Read More

FREE Credit Report Offer - Careful, It Might Carry Hidden Charges

FREE credit checks or free credit reports. What are they... Read More

Top 5 Credit Misconceptions

We have all heard the rumors?from neighbors, relatives or friends.... Read More

Free Credit Report ? A Website Typo Could Be Costly

In 2003, Congress passed the Fair and Accurate Credit Transactions... Read More

Credit Card Debt: How To Control It

A lot of people spend more money than they can... Read More

Shoppers Beware - Tis The Season

It's the number one complaint from consumers and it only... Read More

Annual Credit Report and Free Annual Credit Report

Getting an annual credit report review has been the advice... Read More

Credit Reports: Find out why you have been refused Credit.

You may already have 2 or more credit cards in... Read More

Five Reasons to Repair Your Credit Score - You Can Do It Yourself

There are multiple reasons that tell us why we should... Read More

Credit Card Entrapment - The Secrets are Out

Have you ever wondered why your credit card bill is... Read More

How to Repair a Bad Credit Rating

If you have a bad credit rating, then you might... Read More

Credit and Banking Money Saving Services

The first rule when applying for banking and credit services... Read More

Bailiffs & Council Tax - Knowing What To Do

This article is about bailiffs who may call trying to... Read More

The Best Strategy To Erase Credit Card Debt

Credit card debt is a growing sickness in the United... Read More

Have You Ever Opened a Checking Account?

Maybe some of you are saving it in your trusty... Read More

Like It Or Not, You Have A Score To Settle!

Like It Or Not, You Have A Score To Settle!... Read More

How To Survive In A Plastic World, Qualifying For Credit Card

Let's face it, having credit is no longer a choice.... Read More

A Summary of the Fair Credit Reporting Act

This summary of the Fair Credit Reporting Act will explain... Read More

5 Things Your Credit Card Company Keeps Quiet About

Credit Cards can bankrupt you if you let them run... Read More

Credit Card Incentives

Credit card companies want your business. After all, lending money... Read More

Dealing With A Collection Agency

Step I - Selecting A Collection AgencySelecting a credit collection... Read More

Collection Agencies: What Do They Do?

Collection agencies are businesses that collect past-due bills and accounts... Read More

Credit Cards Can Help You Get Out Of Debt

Your credit rating / credit score is based upon how... Read More

Your Credit Card May Be Costing More Than You Think!

Do you know what your credit card is truly costing... Read More

Bank Robbery Growing In U.S.

Bank robbery has grown to become a huge problem in... Read More

Which Business Credit Cards with Reward are the Best?

Thinking of applying for a credit card with a reward... Read More

Dont Dig Your Own Pit

If you want to enjoy your life out of spending,... Read More

Student Credit Cards

STUDENT CREDIT CARDS With graduate debt averaging... Read More

Sound Advice For First Time Credit Card Users

If you are just entering the world of credit cards,... Read More

Boosting Your Credit Score To Get The Best Credit Card Deal

Making Your Credit Rating Work For YouOne of the basics... Read More

Do You Know Whats On Your Credit Report ?

It is important to know your credit rating for a... Read More

Cash Back vs. Rewards Credit Cards

Ah, the sweet rewards of using credit!Not only do you... Read More

Credit Counseling -- Why It Doesnt Work For Most Debtors

"Cut Your Payments in Half!" the headline screams. "Consolidate Your... Read More