investing guide

Credit Cards Make Investing Very Difficult

credit card debt

Credit cards make investing very difficult for many Americans. In fact it simply does not make sense for many people to invest money if it means they will be retaining large amounts of credit card debt at high interest rates. Credit cards have been one of the the biggest downfalls of many average Americans.

Just imagine if the average American who carries over $10,000 dollars of credit card debt put all that money into an investment that returned around 10% a year; instead of costing them 10%-20% interest in credit card payments.

Believe it or not people can survive without using credit cards. Controlling one's desire to charge and charge some more is one of the biggest obstacles to obtaining financial independence. I too in my earlier 20's learned the dangers of credit cards by using them to much while I was in college. However, I have now become credit card free and simply carry one card around for emergencies.

Until a person can learn how to use credit cards wisely, they will always be struggling with debt which will inhibit their ability to reach their financial goals.