And that total – about $1.021 trillion – was computed before the recent holiday season!
How can working Americans dig ourselves out from this mountain of often high-interest debt and avoid being buried under new charges? Financial experts offer these suggestions:
- After paying the minimum amounts on each card, pay as much as you can to bring down the balance on the card with the highest interest rate.
- Apply for a low-interest, “balance transfer card” to pay down your high-interest balances.
- Use one low-interest card just for automatic payments, such as gas and electrical utilities or newspaper and magazine subscriptions.
Working Americans shouldn’t blame themselves for the financial squeeze that the big banks created. But, through smart financial planning, we can keep more cash in our wallets.