Are You a Typical American Card Holder?

Americans thrive on credit. It's estimated thatthe cost of living escalating in relation to wages,
each American credit card holder has three bankit's obvious that credit card debt will continue to
cards, two debit cards, and four retailer cards atclimb. Credit card debt rose 315% between 1989
any given time. That's a lot of plastic! Andand 2006. With few or no financial resources to
Americans are relying on their credit cards moreturn to, people who need extra cash frequently
heavily than ever before.find it in the form of credit cards.
If you're a cardholder in America, you might haveHas your own spending gotten you into debt? If
wondered how your situation compares to theso, take some advice from the pros. Cut out
national average. How much debt does theunnecessary monthly expenses and use the
average card holder carry? How much do theymoney you save to pay off credit cards balances.
pay off each month? What is an average creditThis will require about three to four weeks of
card interest rate?monitoring your income and expenses. Simple
With some facts and figures from Citigroup Incchanges can help. For example, brewing your own
and the Federal Reserve, you can see just howcoffee rather than picking up a cup from the
your debt compares. You might be a typicalcoffee chop each morning can save you nearly a
American cardholder if...hundred dollars each month. That money can be
- ...you carry a balance from one month to theput to better use in reducing your debt.
next. (Industry insiders refer to these types ofDon't forget that your bank can also be a helpful
customers as "revolvers".)resource. You can take out a personal loan to pay
- ...you have eight or nine credit cards in youroff your credit card debt. That loan will be repaid
wallet.at a much lower interest rate than regular credit
- ...your cards have an interest rate of 14.71%.card payments. Just be sure to go with a lender
- ...you use your credit cards to make ends meet.you trust.
- ...you have at least $5,219 in credit card debt.We live in a nation of debt, but there's hope for
- ...you only pay 3-4% of your total balance everyus after all. With some careful planning and sound
month.decisions, we can beat the national credit debt
It's not the most flattering financial picture, but it'saverage.
not as bad as you might have expected. Still, with