How to destroy your credit and financial life?

There are hundredth of way how you can easy destroy your credit so you should avoid practicing destroying your credit score as well your credit card. Student as well young people car easy get approved for one or more credit cards and then spend thousands of dollars for entertainments. You should not do this and avoid. I know you are smart kids and you want to live free of debt this is only suggestion and you should consider taking this suggestion to your heart.

If you have 10,000 credit limits on your credit card where you should spend that money? Of courses only for your needs and needs that are require such as gasoline, school expenses, car maintained (not car loan). Don’t spend more money than you can actually earn get a second job and have saving account in case of black hours or economy crisis. You know that we live in recession times and it’s hard to get a good job with high salary in you are only a college student. You are looking to have a job in local community and work for few dollars on hour so that why you know how hard is to get a few dollars, and you exactly know how easy is to spend that money because you wish to have new things in life. Stop until you get permanent job don’t spend more on your credit cards because credit cards interest rates are high. Stop missing a payment, skipping a payments is worse than paying the minimum, the interest compounds and the 30 days late payment that is showing on your credit report will destroy your credit report and will show on your credit report for 7 years with is long amount of time! Paying bills late as well late payment is the worst thing you can ever think about it better to pay late Utility bills such as phone, than missing payment on credit card. If you don’t have a budget and you spend more than you earn how you will be able to pay off your credit card? Of course you will have few 30 days late payment in addition some default and derogatory account you will go out from college debt addition as well with bad credit score and you will be consider high risky to lenders! If you not opt-out your increase in your interest rate this will lend you to disaster, many credit card companies such as Discover, chase as well bank of America and CITI increase interest rate without a explanation that why you have a right to call customer services and disapprove those increase whose of us want to pay 20% in interest rate rather than 12%? If you don’t taking care of late payment fee you will find yourself dig in financial trouble. Credit card company’s charges for late payment are over a limit charge $ 30-$40 depending on banks and what is your credit report. In addition when you travel abroad you paying 3 percent in interest rate for currency conversion so make sure you use your credit card smart, don’t spend money for gift because those gift will cost you thousands of dollars. Don’t ignore calls from Customers Services if you default of payment and you don’t have money to pay for your credit card. You should speak with them saying that you lose your job and currently you are out of money and they will work with you to create a financial plan and help you get out of debt. This is good and realistic way creditors hate if you don’t want to talk to them because they may say you default and you don’t want to pay their money back. You should pay their money back and you should not default on any payment as you see you should not spend more than you actually can earn. Don’t carry high balance on your credit card because this will cost you thousands of dollars in interest rate and may disaster your financial life and of course this lower your credit report and if you have low credit score you will pay a lot of money in interest rate not only for a credit card but also for a mortgage, either if you refinancing your house, taking home equity, considering buying new car or taking a private loan. This is very funny but important aspect if you don’t pay for your parking ticket you will have to deal with town hall and interest rate on your ticket may go up to 15% if you default and this will destroy your credit score of course.