Credit card debt continues to haunt many of us as prices on goods skyrocket. The Consumer Financial Protection Bureau estimates that credit card debt could hit $1 trillion. Credit card interest rates often vary between 20.94% - 27.92%. To put these rates in perspective, this means if we are carrying a $10,000 unpaid balance on our credit card that has a 27.92% interest rate, we are in essence really carrying a balance of $10,000 X 27.92% = $12,792. And we are paying approximately $232.04 in interest alone each month just to cover our interest payment. If we take 30 years to pay off that original $10,000 balance, we will ultimately pay $72,781.24 (with only 12% of our payments even chipping away at our balance and 88% of our payments devoted to our interest owed). Do we really need that new electronic, bauble, or trip if we have to put it on credit? Or can we save toward it, plan for it, and use a little delayed gratification to ultimately get what we want? Financial Freedom to budget our money and accomplish our financial goals.
We've Got Your Back,
Your Financially Fit Employees Team
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