How 4 Pillars In Victoria Helps With Credit Card Education

Credit cards are not negative or harmful to the financial well-being of a Victoria individual or family, but they have to be used correctly and used wisely. On average, people in Canada have 2.2 credit cards, with almost 90% of all Canadians over the age of 18 having at least one credit card.

The Credit Problem

The problem with credit cards is not in using the card for purchases that are planned and budgeted for; it is in using the credit card for large or unplanned purchases. This results in the cardholder carrying a balance, which is charged interest, creating larger debt even with minimum payments.

To effectively use credit cards, our 4 Pillars debt consultants can provide credit card education and management strategies to our clients. This is not to tell people what to buy, but to provide them with the information to determine if the credit card is the best way to make the purchase.

Credit Card Utilization

People in the Victoria area are often surprised to find out the spending limit credit card companies extend. Of course, as the 4 Pillars debt consultant can show, extending credit to consumers is the way the credit card industry makes money, often taking in thousands of dollars on even small initial balance accounts if it takes years to pay them off.

Credit card utilization is the amount of the credit that is used by the cardholder. Not only does high credit card utilization mean bigger monthly payments and more interest paid, but it also negatively impacts your credit score.

To schedule an appointment with a 4 Pillars debt consultant to discuss credit card debt and management, contact us today at 866-690-3328.