Have you ever asked yourself WHY you constantly run your credit card up to the limit without thinking? Finally the day comes and you take some time to look at the balance on your credit cards and you are overwhelmed!

Personal Debt Credit Card Statistics

According to the Federal Reserve the average median household income for 2006-2007 was about $43,000 per year. Of that $43,000 in income almost %5 is also sitting on a credit card or $2,150.

That number may not seem very high an but of course it is an average. According to myFICO when the numbers are expanded more about 15% of credit card holders show a combined balance of over $10,000.

Is it any wonder people feel pressured by debt!

Assume for just a moment that your credit card has a balance of $3,000 and carries a low interest rate of 9%. You do know what the interest rate on your card is don’t you? Call to lower the interest rate!

If you make the minimum payment on your balance and never charge again on that card, do you know how long it will take to pay it off?

The answer is approximately 50 years and the interest over that period will be about $1,500. You’ll pay 50% more of the items you purchased by using the credit card than from paying cash.

You can brush off the above facts or you can get serious and take stock of where you are in your use of credit and credit card balances. Pull out your statement and give it a thorough review.

• What is the current interest rate?
• What is the minimum payment?
• How much did you pay last month?
• Did you pay off more than you charged?

You cannot address the problem unless you know where you are. If making the minimum payment is an effort – get prepared – your number will probably soon be ringing with creditors calling for their money.

It’s time you started looking at ways to reduce your debt, consolidate your bills and spend more time on learning about money and how to manage it properly than you do planning your next getaway or shopping trip.