The Card Reality: Credit Downgrade Will Cost You
News from Fox Business:

With only six days left until the country’s debt deadline is reached, Americans need to face the harsh reality that, while the government will very likely reach some kind of compromise, it’s just as likely the nation’s credit rating is going to be cut.

With the Boehner plan being debated in the House Thursday — and both Democrats and Republicans digging in their heels — it is still unclear how the battle will unfold over the next week or so. But according to most experts, Standard & Poor’s and/or Moody’s will be lowering their rating regardless of the outcome, which means climbing interest rates and more difficulty securing loans — not to mention a very volatile stock market.

One immediate effect of a ratings downgrade will be higher interest on cards with variable rates, according to Lynette Khalfani-Cox, money coach and personal finance expert. Most Americans have cards with these fluctuating rates, as many banks have switched from fixed-rate cards to variable…………… continues on Fox Business
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Small businesses take on credit card debt to meet needs
News from Debtmerica Relief:

The economy may be recovering slowly, but many small business owners are still having trouble getting enough capital together to cover their needs, and are therefore relying more heavily on the ability to take on credit card debt.

The majority of the nation’s 27 million small businesses rely heavily on credit cards to provide working capital, and the ongoing economic problems in the country have caused many to increase the amount they borrow and scale back the amount they pay on their monthly bills, according to a report from the Wall Street Journal. The National Small Business Association will soon release statistics that show many of these companies have allowed their balances to grow to between $ 10,000 and $ 25,000 while fewer now have debt totals of less than $ 10,000.

In addition, fewer are p…………… continues on Debtmerica Relief
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