1. If you spend more than 50% of your credit limit every month, this indicates to the Credit Bureau that you do NOT have enough cash on hand to meet your monthly expenses. This will identify you as a high credit risk and will actually reduce your credit score by 60 - 70 points overnight (Fair Isaac).

2. If you miss 1 or 2 payments on your credit card debt, the issuing company will skyrocket your interest rate to a whopping 27% - 30%!

3. Out of a random sample of 3 million American consumers (included in Experian's National Score Index), 51% of them have at least 2 credit cards and 14% of them have 10 or more credit cards.

Tips to Help You Say Good-Bye to Debt

There is no single solution for getting out of debt. You did not get into debt overnight, nor will you get out of it that quickly.

These tips can help you take those crucial steps to financial freedom.

Stop accruing more debt: The more you continue to spend, the longer it will take for you to pay it off. Reduce your spending. If you have high interest credit cards, transfer the balance to ones with a lower APR. That way your debt won’t increase while as you’re paying it off.
Increase your income: If your current salary isn’t enough to cover the payments on your debt, get a second job. Even a few hours a week can make a huge difference. Look for flexible freelance work that will fit around the rest of your life.
Make a budget and stick to it: It easy to overspend when you don’t have a budget. Calculate how much you have to spend and stick to that limit. Write down all of your expenses so you know where your money is going.

Video: How to Create a Do-able Budget

Pay more than the minimum: If you only make the minimum payments each month, it will take you ages to pay off the whole debt. Instead, pay as much as you can each month. Every penny to put towards that debt will save you interest fees and get you one step closer to your goal.
Reuse and recycle: It’s environmentally sound and financially smart to reuse as much as you can.
Change your spending philosophy: Are you only buying the things you really need? Those impulse purchases may feel good at the moment, but in the long run, they will only get you further into debt. If you’re going to get out of debt, you will need to change your whole attitude to spending.
Get organized: Are you the sort of person who forgets to pay the bills on time? Late fees cost a fortune and are completely unnecessary. Get a calendar and write down when the bills are due. Then try to pay them a couple days early.
Make frugal friends: It’s difficult to stick to a budget when you’re surrounded by spendthrifts. Spend time with people who understand your goal and help you live within your means.
Set up an emergency fund: When you’re in debt, it’s hard to think about putting something aside for a rainy day. Every day feels like a downpour. But it’s crucial to have even a small emergency fund. Just make sure you don’t tap into it unless it’s truly an emergency.
Shop around: Take time to shop around. This doesn’t just apply to clothes and gadgets. Shop around for the best bank account, the best credit card, the best loan. There is no point in paying more than you have to.
Throw away your credit cards: If you don’t trust yourself to stick to a budget, get rid of all but one credit card. Keep that last one for emergencies, and only emergencies. That way you will not have the option to buy things that you cannot afford.

Video: How to Get Out from Under Your Credit Card Debt

Stay busy: Many people shop out of boredom. Find some cheap hobbies and stay busy. Don’t spend all of your time watching TV. The adverts are designed to tempt you into spending money. Resist the urge.