“Resisting the temptation to use credit cards, it ain’t easy!”

Credit cards are built to be easy to swipe and hard to put down, and the companies behind them have spent a lot of money making sure of it. Here’s why they’re so tempting, how card issuers keep you hooked, and what to do if the balance has already gotten away from you.

Why is it so hard to resist?

1. Convenience. Cards are accepted everywhere, and a swipe or tap takes almost no thought. That’s the problem: it’s too convenient. Hey, who doesn’t need a new Apple Watch once a year? I think the new one reads my inner thoughts.
2. Instant gratification. You get to buy it now, even when the money isn’t there, and damn it feels good, doesn’t it? That’s tempting for non-essentials, like that 40-pound Hershey Kiss.
3. Rewards and incentives. Cashback, travel points, and discounts make spending feel like earning. Heck, I got a free poster like that in high school for 475 Camel Bucks, which was also stupid. Let’s see, 475 × 20 per pack, that’s 9,500. Not good!
4. No immediate consequences. Promises, promises! Unlike cash, a card purchase doesn’t drain your bank account on the spot, so you don’t feel the hit. That gap between spending and feeling it makes overspending easy.
5. Emotional spending. Stress, boredom, a bad day. Retail therapy is real, and so is the bill that comes with it.
6. Advertising. Brainwashing at its finest. Issuers create urgency and exclusivity, and to be cool is to use their card, which comes in gold-colored plastic.
7. Lack of financial literacy. We’re all dumbasses at some point, me included. Many people don’t fully understand interest rates, fees, or what carrying a balance costs over time.

The diabolical plot (how they keep you hooked)

Credit cards can be a useful tool when you use them responsibly. But the companies that issue them know exactly what they’re doing. Here are the tactics you’ll see most:

1. Promotional offers. Sign-up bonuses, 0% introductory rates, and rewards programs. They can be great, but they can also push you to spend more than you can afford to earn the bonus. See how credit card companies and bankruptcy fit together.
2. Higher credit limits. Issuers raise your limit periodically. That makes it easier to spend more and carry bigger balances, and bigger balances mean more interest.
3. Balance transfer offers. One card company tries to lure you away from another so it can be the one collecting interest from you. A transfer can help you manage debt, but read the terms and fees first.
4. Minimum payment emphasis. The statement puts the minimum payment front and center. Sneaky. Pay only the minimum and you’ll be paying interest on the rest for a long time.
5. Targeted offers. Pre-approved offers go to people based on their credit profiles. Young adults just out of school are a favorite target.

How to resist

• Pay your full balance each month, and don’t carry what you can’t pay
• Wait 24 hours before buying anything you don’t need
• Take saved cards off shopping sites and apps
• Set spending alerts on your card
• Opt out of pre-approved offers
• Make a budget, and focus on needs over wants

Or just avoid them altogether, but that’s so hard!

What if it’s already too much?

When all else fails, and the sky is falling, there is help, there is a way forward, and there is light at the end of the tunnel. If the credit card debt has gotten away from you, I can walk you through your options, including whether bankruptcy makes sense, and what life after bankruptcy looks like. If bankruptcy isn’t right for you, I’ll tell you so. Call me at 636-486-1093.

Common questions

Can bankruptcy get rid of credit card debt? Often, yes. Most credit card debt can be discharged in Chapter 7 or Chapter 13, with some exceptions. Don’t run up your cards right before filing, because recent charges, especially luxury purchases and cash advances, can be challenged.

Can a credit card company sue me? Yes, but there are time limits. See the statute of limitations on credit card debt lawsuits in Missouri, and if you’ve been sued, Sued by a Debt Collector in Missouri.

To resist the allure of credit cards, individuals should prioritize financial education and develop responsible spending habits. Creating a budget, setting spending limits, and focusing on needs rather than wants can help individuals manage their finances more effectively and avoid unnecessary credit card debt. Or, just avoid them altogether, but that’s so hard! When all else fails, and the sky is falling, there is help, there is a way, and there is light at the end of the tunnel.