How 4 Families Conquered Their Credit Problems
News from U.S. News & World Report:

Molly Stillman, 27, will never forget how financial panic feels. “Your chest starts to feel hot, your heart’s pounding, you get dizzy and nauseous,” she says, recalling her realization in 2008 that she owed more than $ 36,000 on her credit cards. Today, the marketing director from Hillsborough, N.C., is free and clear, and she vows, “I’ll never be in debt again.”

That’s a promise more Americans have been making these days, since the financial crisis and recession shook their sense of wellbeing. A Federal Reserve Board report issued in June revealed that only about 39 percent of card holders carried a balance in 2010, down from 46 percent in 2007, and those balances average $ 2,600, compared to $ 3,100 three years earlier. In part, that’s a reflection of stingier banks’ credit requirements. But it’s also the result of a mass awakening among consumers to the fact that paying off debt is one of the only surefire ways to increase disposable income. That’s especially true when it comes to credit card debt, often the first recourse for savings-challenged families without much home equity, since it often carries cripplingly high or variable interest rates.

“People forget that when they charge something on a credit card they’re in essence decreasing their future income, because they’re committing those earnings in advance,” s…………… continues on U.S. News & World Report

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In our opinion: Christmas credit card debt a tradition we could do without
News from Deseret News:

In this Nov. 19, 2009 file picture stickers on a window show which credit cards are valid in a shop in Frankfurt, central Germany. There are some traditions that all of us can do without — namely, the time-honored holiday practice of decking the halls with credit card debt.

Michael Probst, File, Associated Press

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With the Christmas season officially underway, people take the time to continue traditions that have been passed down from generation to generation. Many of these traditions are sources of happiness and joy and they shou…………… continues on Deseret News

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