- Personal Finance
Repair Your BAD Credit! Use a Pre-Paid Credit Card - Introducing The RUSH Card!
Don't Let Your Credit Card Ruin Your Life!
Credit cards destroy lives. Think I am being over-dramatic? Think again! I know many people (both family and friends) that destroyed their credit by running up their credit cards. Before they knew it…they had incredibly HIGH balances and could only pay the minimum amount due. Or, worse yet, they always made late payment because they didn't have the money at all (which by the way means late fees!). I don't think that people truly understand how bad it is to have horrible credit. A bad credit rating can affect your employment, whether or not you can qualify to own your own home, or even the interest rate you will qualify for when you buy a car (bad credit equals no car or a car that comes with an incredibly high interest rate. Ouch!).
Credit card companies LOVE people that only pay the minimum payment that is due. Why? Well, my friends, the concept is simple. If you only pay the minimum payment it will take you….um, let's just say FOREVER…to pay off the balance. The longer it takes you to pay off the card…the more interest you will pay. The more interest that you pay…the happier the credit card company is! If possible, you should always pay more than the minimum payment due…even if it is only five or ten dollars (and of course, don't charge anything else in the meantime!). Best case scenario would be paying off the credit card IN FULL each and every month!
What Can YOU Do to Improve Your Credit!?
Obviously, if you want to improve your credit score you will need to pay off or pay down any existing debt. Easier said than done…right?! If you are over-whelmed and don't know where to start…you should consider contacting a reputable credit counseling agency. A reputable credit counseling agency will do a complete evaluation of your finances and then put together a "get out of debt" plan that you can live with. They will also tell you how to avoid debt problems in the future. Reputable counseling agencies are wonderful as they truly want to help you improve your credit rating!
Pre-Paid Debit and Credit Cards
Once your credit cards are paid off…what can you do to ensure that you will never get into credit card trouble again? I admit that credit cards make our lives easier….and in this day and age…having a credit card is important. After all, you can't shop on the internet or make an airline reservation without one! Several companies now offer pre-paid credit and debit cards. BanCorp, for example, offers a pre-paid credit card called the RUSH Card. The RUSH Card gives you all the benefits that a credit card offers...however, YOU set the spending limit! So how does the RUSH Card work? First you open a RUSH Card account. Next, you decide the amount you wish to put on your card and deposit it. You can only spend what you put on the card…no more! The RUSH Card is wonderful for people who tend to "live beyond their means." It teaches you how to budget your money and to be fiscally responsible. The RUSH Card is accepted worldwide and it is a great way to pay your bills (you can have a portion of your paycheck deposited directly into your RUSH Card account. In my opinion, the best thing about the RUSH Card is that it helps you to rebuild your credit rating! Once you have your RUSH Card all you have to do is join the Rush Path to Credit Program and you will be on your way!
Unfortunately, in these tough times, credit cards are being used WAY MORE than they should be. As my Grandfather once told me…. "If you can't pay cash, you can't afford it!" Yes, it is true, most of us (including me) often live beyond our means. Maybe if we slowed down a bit…and stopped trying to "keep up with the Jones'" we'd all be better off! With debt, comes stress…and who needs more stress? Not me! If you do not have any credit card debt…good for you! If you are over your head and can't make your credit card payments…do not be embarrassed to reach out to a credit counseling service…they are there to help you! Good luck and here's to living a debt free, happy life!
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