It can be so easy to find yourself in debt. Especially when you are young and not making a lot of money, and you are inexperienced in the ways of finance, it can be extremely difficult not to be swayed by temptation. It is so easy to pull out a credit card and buy something you desire even though you really can not afford to buy that item.

Credit card debt is, without a doubt, the worse debt that most people can have. With the high-interest rates that accompany credit cards, especially if you have not had the opportunity to build a good credit record, you can easily find yourself in an endless spiral of increasing debt because you find yourself only being able to pay the minimum payment each month and paying mostly the interest charges leaving the principal amount unpaid. You don’t have to be a banking expert to figure out that you will never get out of debt in this manner.

Worse yet, you may still not have learned your lesson, and you continue to amass more debt by purchasing even more items that you can not really afford, partially because you are paying so much money in finance charges each and every month. With this dynamic taking place, your credit score soon starts taking a hit and drifting lower and lower even though you are not missing any payments,

Credit scores are based on lots of different factors beyond delinquent payments. One factor is the percentage of the debt you have compared to your available credit on that credit card account. The lower your credit score sinks, the higher interest rates you have to pay, making it increasingly harder to pay off the principal amount of your debt.

This is a trap that many young people fall into before realizing it if they have not received good counsel from their parents or another responsible adult. Unfortunately, credit card companies are not held responsible for their actions, which should be changed.