Author Box
Articles Categories
All Categories
Articles Resources

Credit Skills to Keep You From Bankruptcy

June 15, 2012 | Comments: 0 | Views: 218

As experienced bankruptcy attorneys, we know that people are forced to file for bankruptcy for many reasons. Though sometimes circumstances are outside of your control (sudden unemployment, high medical bills), one of the biggest reasons people are forced into bankruptcy is improper credit use.

If you are worried about the role a credit card is playing in your life, you can't afford not to read these tips on keeping your credit in your control. Avoiding credit when at all possible is the best option for most people. But, if you must have credit, follow these tips to ensure things don't get out of control!

Keeping Credit in Check

  1. Pay your balance in full. Sounds pretty simple, right? For many, this can be extremely difficult to do. When you only have to make a minimum payment, many people fall into the trap of racking up huge interest charges. Even worse, once you miss a payment (even if it's a mistake) your credit card bill will really start to soar!
  2. Use online bill pay religiously. If you're concerned about forgetting to make your monthly payment, set up online bill pay to make sure it happens. Some people advise against online bill pay because you may end up paying for an inaccurate charge. While this can be corrected later on down the road, there's no recover option should you forget to pay. We recommend making a payment on your card from your checking account every time you log into your bank's website. These payments take about 10 seconds to do, and reduce the risk of forgetting to make that one big payment at the end of the billing cycle.
  3. Don't close credit cards. When you close a credit card, it hurts your credit score. If you have a card that you don't ever use, make one small purchase on it every few months and pay it off in order to keep a good credit score. When you cancel a line of credit, your score drops, and it could hurt you when it comes to your relationship with the card company you do business with on a regular basis.
  4. Limit your credit limits. Keeping a low credit limit is usually a sure fire way to staying away from bankruptcy. Low credit limits act as a safeguard to ensure that you don't overspend. However, you don't want to hit your credit limits. Maxing out your credit limits, even if you can afford to do so, doesn't reflect well on your score.

Keep your credit in check with these four simple tips, and you will greatly increase your chances of staying out of bankruptcy! Keep the debt to a minimum (ideally none), and you can enjoy a healthy credit life!

The Lee Law Firm aims to help local residents resolve their debt issues and achieve a financially healthy future. Their mission is to provide high quality legal representation that to assist hard working people lower monthly debt payments, stop wage garnishment, prevent foreclosures, and stop calls from creditors. The Lee Law Firm bankruptcy attorneys have many years of experience in all aspects of Chapter 7 and Chapter 13 Bankruptcy in Dallas.

Source: EzineArticles
Was this Helpful ?

Rate this Article

Article Tags:

Credit Card


Credit And Bankruptcy

The 3 Month Payday Loans is most suitable options for the people who do not possess assets. There are a variety of loan options for the people who are willing to pledge assets against the cash

By: Cameron white l Finance > Personal Finance l July 09, 2013 lViews: 560

For many people, bankruptcy can make their world fall apart. The apparent loss of reputation coupled with the inability to take financial decisions can deter anyone from thinking clearly. But all is

By: noragwilt l Finance > Bankruptcy Lawyers l November 18, 2012 lViews: 303

If you are availing payday loans with monthly payments, it is easy for you to obtain quick money from online lending companies.By getting the best deals of loan, you can save money in terms of

By: Malen Cheks l Finance > Loans l November 16, 2012 lViews: 289

Loans online have become the popular source of income and people can make smart decision of taking it.Now, don’t go anywhere and sit in your home silently. Such deals would bring you money without

By: Marsh Jone l Finance > Loans l November 13, 2012 lViews: 288

Loans for the unemployed would let you feel comfortable with your unstable conditions due to jobless period.If you compare the rates of a few lenders, you would definitely get the suitable lender to

By: kelse roy l Finance > Loans l November 13, 2012 lViews: 467

By taking cash advance for bad credit, it is easy for you to improve your credit status. This loan is useful to relieve financial stress. This loan is totally free from credit verification and

By: Honard Nork l Finance > Loans l November 09, 2012 lViews: 301

With the innovations caused by the development of the internet years ago, a lot has changed, specifically in the world of customer service. You can now get product information online, contact

By: Anthony Clinel Finance > Bankruptcyl June 13, 2012 lViews: 182

If your business is struggling and you decide to file bankruptcy there are several options available for your consideration. You don't necessarily need to close your business down. Understanding the

By: David Changl Finance > Bankruptcyl June 12, 2012 lViews: 203

If you are not able to fill the bankruptcy forms on your own, then you should take help from the many financial helpers in the market. However, let me tell you one thing straight. It is a good sign

By: Muhammad Azam Goharl Finance > Bankruptcyl June 12, 2012 lViews: 145

When it comes to bankruptcy, there's a lot of information you need to know. Finding all of this in one source can be difficult and frustrating for many people. You probably have a lot of questions at

By: Christopher Ml Finance > Bankruptcyl June 12, 2012 lViews: 312

According to Dave Ramsey, bankruptcy is in the top five worse things that can happen to you in a life time. It stands near divorce, illness, disability and loss of a loved one. After all bankruptcy

By: Krzysztof Wasilakl Finance > Bankruptcyl June 11, 2012 lViews: 173

Avoiding bankruptcy is made possible with a few solid money management skills. When you start practicing these techniques as a part of your habit - and encourage your family to do so, too - you'll

By: John A Ciminol Finance > Bankruptcyl June 11, 2012 lViews: 163

When it comes to bankruptcy, there's a lot of information you need to know. Finding all of this in one source can be difficult and frustrating for many people. You probably have a lot of questions at

By: Christopher Ml Finance > Bankruptcyl June 12, 2012 lViews: 312

One of the biggest concerns people have about filing for bankruptcy is what will happen to their assets. While a Chapter 13 bankruptcy can protect assets far better than a Chapter 7, there are other

By: Christopher Ml Finance > Bankruptcyl April 27, 2012 lViews: 296

The bankruptcy process can be overwhelming at times, but it doesn't have to be. Knowing what is expected of you throughout the process can help you prepare and eliminate mistakes that could cost you

By: Christopher Ml Finance > Bankruptcyl April 25, 2012 lViews: 263

Despite popular belief, filing for bankruptcy does not damage your credit. Although there are some things to be concerned about credit-wise after bankruptcy, the risk of further credit damage is not

By: Christopher Ml Finance > Bankruptcyl April 23, 2012 lViews: 194

While there are some people who overspend and load up their debt accounts, many people have succumbed to bankruptcy over uncontrollable life situations. Loss of a job, spouse or medical condition can

By: Christopher Ml Finance > Bankruptcyl April 20, 2012 lViews: 179

The economy hasn't just been tough on consumers, but businesses are also struggling more than ever before to maintain profitability and keep their doors open. With so many high demand companies

By: Christopher Ml Finance > Bankruptcyl April 18, 2012 lViews: 193

Discuss this Article

comments powered by Disqus