Credit Debts: Paranoia, Stories, Delinquency

We often hear about credit card debt stories from different people that we know and it’s something that scares us. We also hear or experience credit card horrors like credit card paranoia and credit card delinquency. But, what are they really?

Find out what’s credit card paranoia and credit card delinquency below. 

What’s a Credit Card Paranoia?

There are a lot of things that comes with owning a credit card. Since you often hear about credit card debt stories from your friends you tend to develop a credit card paranoia which leads to you being unable to use a credit card.

If you’ve seen the movie Confessions of a Shopaholic, then you’ve probably developed a mild credit card paranoia. Being haunted by the insurer with the credit debt growing big can indeed develop such paranoia.

How to Avoid it?

Be a responsible credit holder. Before you’re going to swipe that card, make sure you can pay it off in thirty (30) days. If you can’t, then don’t buy it.

What’s a Credit Card Delinquency?

The credit card delinquency has become something common. But not many people have a knowledge of what delinquency really is. You might be surprised that you can easily face and resolve credit card delinquency head on.

Credit card delinquency happens when the cardholder falls behind on credit card payments. Because a credit card has a monthly bill, you must pay a certain fraction in order to stay current on your account monthly. The insurer lets you a loan that you must pay in instalment until you get to pay for it fully.

        How to Avoid it?

Make sure that you can pay your debt monthly if you’re going to loan on your credit card otherwise when you’re unable to pay for it, you will be marked as a delinquent. It will take time before you can recover from the effects of delinquency but when you pay little by little, you can decrease your delinquency from worsening.

There are a lot of risks that comes with owning a credit card, it can be a blessing or a curse. But it’s up to you whether you’re going to be a responsible credit holder or not. But by keeping tabs on credit card delinquency and credit card paranoia and knowing the horrors behind it, you can become a responsible credit card holder.

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