There are many reasons why you turn to a credit card to pay for goods and services throughout the month. But sometimes it can become more than a means of paying for goods which are paid off when the bill comes through.
If you experience any of these signs or symptoms listed below you might want to consider the implication that it is having on your financial health overall.
- If you are paying for everyday items with your credit card because you have run out of money and it is not the end of the month. This is a sign there is a problem with your budget that needs urgent attention.
- If you have more than one credit card with high balances, which you can’t clear every month could indicate that you are a credit card addict.
- If you have a few credit cards that you use each month and you are not aware of the balances of these cards then it could indicate that you are not taking responsibility for the debt that you are incurring.
- If you are regularly applying for new credit cards just because they have offered you a card. Alternatively, you don’t have a credit card or store card and they offer a great deal that you must have, could be an indication that you are not considering the full implications of the application.
- If you are putting your credit card debt onto your mortgage or getting out a loan to cover these expenses and then you continue to spend on your credit card. This is a sign that you are not taking the full responsibility of your spending habits and could be making your financial situation worse in the end.
- If you know your credit card number of the top of your head, this could be an indication that you are using the card too frequently. Often if you need to read off your card number this could be for internet purchasing and this is easy to become addicted too.
- If you use your credit card on a daily basis, then you could be on the way to becoming addicted to your credit card, you don’t get a sense of the amount of money that you are spending by using your card.
If you are addicted to using your credit card then you might be causing a problem for your future. It is easy to use plastic cards to pay for goods and services and it becomes difficult to judge the amount of money that you are spending. It is easy to over-spend, if you are becoming addicted to your credit cards then a way to test this addiction is to leave them at home, try using cash for your purchases, it will make you think twice about the money that you are spending each week.
If you can’t manage on cash then you need to urgently address your financial situation, start with writing a budget. If you have more money going out each month than coming in you need to adjust the amount of money you are spending each month.