Many people with huge debt loads to pay off
will probably try cutting down on their spending and put more
emphasis on paying off their debts. They will also keep a close
watch on their spending habits and cut down on unnecessary purchases.
Just like losing weight, some people will be successful in debt
reduction all by themselves. However, there's many other people
who need the help of a personal trainer, or a professional credit
counselor to be precise. Here are 15 signs indicating you need
help from a professional credit counseling firm:
1) Your credit card debt load increases
every month, while your income is falling. You have
more and more debt to pay off each month, while little or no
2) You are making only the minimum
required monthly payments on your credit card debt.
3) You apply for new credit cards
and make use of cash advances (payday loans) from these
cards to pay off existing credit card balances.
4) You have a wallet full of credit
cards, probably more credit cards than a Gambler with
5) You are maxing out your credit
limits on your multiple credit cards each month. Or,
you are very close to reaching the limits.
6) Each month, you charge more debt
to your credit cards than make payments towards them.
7) You work extra long hours (overtime) to keep up with your credit card debt payments.
8) You are afraid of opening your
credit card statements each month and you don't want
to know how much you owe.
9) You have received phone calls from
debt collection agencies demanding payments of debts
10) You are using your credit card
to pay for important necessities such as groceries,
rent/mortgage, car gas, clothes, etc.
11) The purpose of your credit cards
is for purchasing daily necessities and NOT for emergency
funds (for a rainy day).
12) You are taking money out of your
savings account or your 401k or Roth IRA to pay for
your monthly expenses.
13) You are hiding your true monthly
purchases and bills from your spouse.
14) You are desperate to sign up for
credit cards and will fill out any unsolicited credit card application that comes to your mail.
15) You are just about to lose your
job, or have lost your job and are worried about how
you will be able to keep up with your monthly expenses and bills.