Credit card debt is bad debt. That seems obvious, but there are types of debt that can be good. Home mortgages, business loans, even education loans can provide good returns over long periods. That is what makes them good. Most credit card purchases are for luxury, or at least discretionary items that we could do without. Of course, emergencies arise in life sometimes. If your car breaks down in the middle of nowhere and you have no means to pay for repairs save your credit card, what else are you to do? That does not make it a "good" debt, however. It is simply a good reason to go into bad debt.
The worst thing about bad debts like credit card debt is the stress that it causes. The interest paid on credit card debt is very high and just paying the minimum required payment barely makes a dent in the principle of the balance. That means that it takes a long time to pay off, and your stress lasts for much longer.
On a daily basis, the amount of stress is probably less for single people living alone. No one else is affected by the debt, and no one else is accountable. That lessens the amount of daily stress, but it also likely lessens the motivation for getting out of debt. If this is your situation, be aware of that. Envision a day when you are financially free and you are building positive net worth. Stay focused on your future and commit to improving your present.
The question of how much stress credit card debt adds to a marriage is a tricky one to answer. The amount of scientific research relating money issues to divorce is limited, but the studies I have found do not seem to indicate a direct correlation. People simply do not say, "Well, this debt is too much, I want a divorce!" Nevertheless, there can be no doubt that financial problems, including credit card debt, are a stress-causing factor in relationships. Even a strong relationship can be tested by things like this, if the situation is serious enough. The fact is that money is not the primary issue in a troubled relationship, and it should not be a continually sticky point in a healthy relationship. Work together to eliminate credit card debt, encourage each other, and never look to blame the other for money problems. Approached the right way, as a team, a couple or a family may be better equipped to quickly deal with these financial woes than someone on their own is.
Whether you are single, in a couple, or part of a large family, credit card debt is a detriment to your future. Living with it causes stress now, in the present. Knowing that your debt problems will extend into the future adds more stress. Not knowing when or if you will ever be free of credit card debt adds even more stress. If you find yourself currently saddled with a great deal of debt, eliminate the "not knowing" part of your equation. Set a date by which you will be debt free. Get help and encouragement from friends and loved ones. Create small goals within the scope of your larger goal, and commit every day to meeting them. You will find that by looking at your financial issues as challenges, the stress will decline, and it will be easier to deal with. You will be free of your credit card debt much sooner than you think. Won't that feel good?
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Michael Rasco created
WarOnCreditCardDebt.com to help others attain victory over debt, and control over their lives. This information is based on his research and lengthy personal experience with the burden of
credit card debt.
