Suzie Orman
In the essay that Suze Orman wrote, “How to Take Control of Your Credit Cards”, Orman says that it is only a matter of choice whether or not you learn to take control of your credit cards. Orman states, when you’re paying high interest rates on credit cards you have maxed out, you could be paying ridiculous amounts of money just in interest. And it could take you years to pay it off. People often overspend on there credit cards, charging anything and everything they purchase on them.
Which leads them to being broke either by choice or in a crisis. Orman says, you should only charge what you can afford on your credit cards. Just because you have a high credit amount, doesn’t mean to go out and buy things that aren’t a necessity to you. Orman says; before you select a credit card you should always find the lowest interest rate for the credit card, for which you will only have to pay less in interest. You are more likely to get a lower interest rate if you have a strong FICO score.
The credit card companies don’t like to make your interest rate low because that means they don’t make much money off of you. When you start using the credit card that you pick, always make sure you make your payments on time; if you don’t then your interest rate will sky rocket. If you mail your payment, make sure it’s mailed at least 5 days before it is due. Not on the due date, because that will be considered late. If you are dealing with multiple credit cards, you are to always try and pay off the credit cards with the highest interest rate, not the one with the highest balance.
Making more then the minimum payment each month could saves you big bucks in the long run. The people that can’t control their credit cards, there is counseling available to help manage your finances. Orman suggests to choice an honest and fair credit counseling service; you do this by getting reference from the National Foundation for Credit Counseling. In searching, a good counselor will make a face-to-face appointment to talk with you in detail about your financial situation before any further action is suggested.
A bad counselor will tell you right off the bat that you need a debt management plan before even knowing your current financial situation. A good counselor will also require you to enroll in education classes. In this essay, Orman proves that there are many ways to control your credit card debts and how to responsibly choose the right credit cards based on interest rates. Orman demonstrates that choosing wisely will prevent needing any kind of debt counseling.
