While credit cards can seem like a blessing at times when you urgently need a credit line, you might also find yourself trapped in a cycle of debt. If you’re carrying too much credit card debt, some of the problems you might be facing include damage to credit score and high-interest payments.

Let us understand how to stay out of credit card debt with some simple rules:

• Buy as per cash at hand
  While a credit card does allow you a significant credit line, it is good to make purchases based on the available cash. If it is not an urgent requirement, you should be able to take care of the expense you’re making on plastic. That way, you’ll not be paying any interest if you pay the bills on time, and at the same time, you’ll be getting cashback, rewards, etc. on using the credit card.
• Get out of denial
  If you wish to foresee the danger that looms in the future, you must accept the problems around you in the present. If you feel that you’re in more debt than you can pay off in the near term, understand and fix the financials before the problems get bigger. You must not be in denial of any problem, which is an important point when we discuss how to stay out of credit card debt.
• Limit housing expenses
  If you’re already in some debt and wish to understand the areas, you can start mending things, start from the housing. You should aim for the lowest possible housing expenses as they are everyday expenses that account for a major part of the overall salary or income. When you’re paying a lot for housing, you’re forced to push back other important expenses like retirement savings and health care.
• Pay on time
  No matter how many other expenses have to be taken care of, make sure that you prioritize paying credit card debt. This will accumulate over time and eventually become an amount that is very difficult to manage. The late fee, interest, and other added fees make the amount bigger every subsequent month, which hurts the credit score.
• Stay out of debt once you’ve paid your dues
  If you manage to come out of debt with your plans and short-term steps, make sure to stay out of debt. By now, you will know the level of problems that credit card debt can create and how difficult it can get to get out of the problems. Ensure that you’re only using a credit card if you have the cash line ready and make sure to make the payments on time. Not using credit where you do not have the cash will also lead to lesser stress in life.