Seven Attitudes that Create the Credit Card Debt Mountain
The credit card debt mountain is built mostly because of consumer attitudes towards spending and money. If you recognize any of these in yourself then you need to look at changing that attitude or you are at risk to remain stuck at the top of the credit card debt mountain:
Attitude #1: You must have it now. The credit card debt mountain grows to greater heights when you must have something right now and are not willing to wait for it by saving. The item that must be purchased now is not a life and death need. It is not something like medical care or paying for a mechanic when your car has broken down on a remote highway. No, this is an optional item that the person would build a credit card debt mountain for.
Attitude #2: Well, we have to buy a gift worth giving. The generous people with this attitude are those who think that if they do not buy the best gifts for everyone else that no one will like them any longer. No credit card debt mountain is too high for these people because they consider their generous cause worthy. Keep in mind that generosity comes from giving of what you have. Having “room” on your credit card is not something you possess in the sense of having money. You can’t be generous with what you actually don’t have and so it is with credit card debt.
Attitude #3: But our kids are inconvenienced. Your high school teenager needs a car to get to school even though the city bus stops right in front of your house and in front of his or her school. But, how do you buy another car? The person here will gladly create a credit card debt mountain so that a car will roll down and park in front of his or her house (figuratively speaking of course). This person’s teenager will not be inconvenienced by having to ride the city bus and demands you add to the credit card debt mountain.
Attitude #4: But our friends have one. The person with this attitude will gladly pile more on top of the credit card debt mountain so he or she can have the same gadget bought by friends. These are the ones who must have the latest cell phone or the latest exercise equipment (that will rarely get used). These are the “upgrade” junkies.
Attitude #5: I want a big wedding. It is simply amazing how a young couple who is just starting out will build a credit card debt mountain to get married. It is even more amazing when this might be the second or third time a person is getting married and wants an elaborate wedding. Or, if they have no more room to build their credit card debt mountain, they ask their parents to build their own credit card debt mountain.
Attitude #6: But that charity needs my help. They come across the television and pull at your heartstrings. The credit card debt mountain is considered a worthy cause. Yet these charities don’t disclose how much their administrative fees are. Before you use a credit card to give to a charity, find out how much of the donation actually gets to its target. You will be surprised.
Attitude #7: Our governments maintain large debt balances. This is true but it is like comparing apples and oranges with your credit card debt. If a government has a hard time paying its debt, it has a variety of methods it can use to generate income such as taxes. You don’t have that ability to pay down your credit card debt.