Credit cards are considered a luxury for some, but many see them as a necessity. As you can imagine a lot of people apply for credit cards by the thousands a day. The average person owns more than one credit card. This is causing the credit card industry to grow and leap beyond any one’s imagination. However, the credit card industry and its holders are doomed with one huge dilemma called ‘Credit Card Debt’. For us to understand what this really means, we have to take a look at the work flow that comes with the use of credit cards.

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Credit cards, as the name states, are cards that give you a line of credit i.e lending you the money (your credit card debt). Your credit card is a representative of the credit account that you hold with your credit card company. When you make payments to your credit card you’re actually paying what you borrowed and it’s contributed towards your debt. Your debt is the total amount you owe your credit card company. Most companies make you pay a min. percent of your debt on a monthly basis. When you receive a monthly bill it shows your total credit card debt. If you fail to pay off your debt by the payment due date you will be charged with late fee’s and sometimes even higher interest fees. Many companies give you a choice to pay a partial or minimum of your payment, in which you don’t get hit with late fees but just interest charges on your credit card. Doing so will cause your debt to keep increasing, as interest rates on credit cards are higher then the interest rates on loans. Interest charges add on to your debt every month to give you a new balance which increases your debt. If you continue to only pay the min. balance on your card the interest from last month still hasn’t been paid and you end up paying the previous months balance. This can cause you to go into debt very rapidly and a relatively small balance can land you into huge debt that can be almost impossible to pay. Control your spending to avoid these high debts from occurring.

If you are pinching your pennies, here are some little things you can do. You won’t save a big chunk of money, I’ll tell you that, but every little bit helps.

As Benjamin Franklin said, “A penny saved is a penny earned.”

1) Unplug all appliances you aren’t using. Say you only use your electric can opener occassionally. Then unplug it and only plug it up when you use it and then unplug it again. Same thing for the TV. Unplug the TV when it’s not being watched. Before you go to bed at night unplug your TV. Just plug it back in when you’re going to watch it.

2) Turn off your computer at night. Many people let their computers run 24 hours a day, 7 days a week and just have a screen saver come on when it’s been idle long enough. Instead of leaving it on all the time turn if off at night and when you know you won’t be using it for hours such as when you’re going to work.

3) Use everything until the last drop.

4) Find cheap recipes to cook for meals.

5) Make sure you are using the energy saving lightbulbs instead of the now old fashioned ones. They last longer and use up less electricity. You can use them on ceiling lights and lamps. When shopping for them you’ll see a Watt equivalent so you know which ones to buy.

6) Don’t run the dishwasher until it’s completely full.

7) Don’t take long showers. Some people like to take 30 minute showers, but just take showers long enough to get clean and then turn the water off.

When drying your clothes, dry 2 loads at once.

9) If you have space outdoors and can set up a clothesline, dry your clothes outside. Being eco-friendly is cool and in now, so if anyone asks tell them you’re helping the environment by drying your clothes the natural way and not using any electricity to do it! You may even inspire others to do the same since eco-friendly has even become trendy.