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Your Magic Plastic (a.k.a. Credit Card) is another one of those fiendishly sneaky evils the banks developed to rid you of your money. If - and that's a big if - you manage your credit card correctly and pay off the full amount at the end of each month, they can be great to have and smooth the little rough patches in life. But most of us only pay the minimum amount required each month - and that's exactly what the banks want. It leaves you in the red and owing them money. Which gives them ample opportunity to apply the thumb screws. Remember, every month you're in the red, you're paying interest on the outstanding amount which gets added to your bill.

The big mistake we all make is to look at our monthly statement and say: "Hey, that's not too bad. I can still afford my repayments. And I have some credit available to buy that wiggly snoogle as well!" The problem arises when you battle to make your income stretch through the month because of the various different repayments you have to make.

It's critically important that you start looking at the TOTAL COST of your debt over your lifetime. Once you're over the shock and horror of how much of your hard earned cash is going up in smoke, you'll be in a position to tackle the problem head on and take the path to debt free living.

Remember: Bad debt is a bad habit.

Author Bio

Gerard runs a website aimed at helping you getting rid of your Debt. If your debt is getting you down consider debt consolidation. www.debtconsolidationweb.info

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The Real Cost Of Your Debt

This article uses dollars and is obviously USA centric, however the principles may be applied to all forms of debt, be honest with yourself