You are here: DIME Home > Loans > Credit cards and personal loans 'are the worst kind of debt'


Credit cards and personal loans 'are the worst kind of debt'

Getting in debt with a credit card or personal loan can be the worst kind, one writer has noted.

Author: Sam Gooch
Date: Sep 14, 2010 - 10:50:55 AM


Printer FriendlyPrinter friendly page

Getting in debt with a credit card or personal loan can be the worst kind, one writer has noted.

Credit cards and personal loans are the worst type of debt that someone can have, according to one industry expert.

Nicole Pedersen-McKinnon, writing for the Sydney Morning Herald, said these options are bad because of the high interest rates associated with them and they are used for assets that lose value over time.

"Or they are for experiences for which you'll have nothing to show afterwards, such as holidays," she added.

But she pointed out that a Credit card is often the worst offender as the repayments are usually set so low that people may never pay them off in full, while the rates are typically the largest.

Ms Pedersen-McKinnon recommended that the best way for someone to eliminate Aussie credit debt is to transfer the balance to another product which has a much lower or no interest rate for a starting period and attempt to remove the debt in that time.

She continued: "Don't use the card for any new spending - this is how the banks recoup their apparent generosity. Fresh debt will attract a high interest rate from day one and until you've cleared your entire transferred balance."

Moreover, it is not just personal loans and credit cards that are problematic as she noted that home loans can also cause issues.

However, the writer stated that there are "massive" potential savings from early repayments.

This advice comes after the Daily Telegraph's John Rolfe advised consumers to organise themselves financially in order to save capital, as well as switching to a low-rate credit card.

But those looking for lower home loan fees may like to take heed of recommendations from Damon Nagel, a director at property investment group Ironfish, who noted that these charges, as well as interest, could be decreased by using a package that the majority of financial corporations offer.

OZ Price Comparison website - http://www.which4u.com.au compares Credit Cards, Savings Accounts, Bank Accounts, Loans, Mortgages and Insurance to find the best OZ deals



View all articles by Sam Gooch

Link to this article:

Code to copy: <a href="http://www.dime-co.com/loans/Credit-cards-and-personal-loans-are-the-worst-kind-of-debt.shtml">Credit cards and personal loans 'are the worst kind of debt'</a>




Related Articles...

Banks set for home loan battle

Jun 23, 2011 - 12:03:14 PM

Banks and credit unions will do battle to attract potential home loan customers over the next few months.... [Read the full story]

Helping To Answer The Question - How Does Reverse Mortgage Work

May 26, 2011 - 5:41:30 AM

In the real estate market more people are pursuing the chances that exist with utilizing high-quality mortgages such that they can either invest in the home they desire or refinance an existing mortgage. While looking into the mortgage possibility there are several solutions an individual could take very good advantage of and one of the most popular resources presently sparking the interest of many homeowners or even homebuyers is found with the options of a reverse mortgage. While looking to the possibilities of this style of mortgage many individuals find themselves, requesting how does reverse mortgage work.... [Read the full story]

Laptop finance deals: Why stay without one if cash is available?

Mar 7, 2011 - 10:56:15 PM

Most of us use laptops to accomplish most our computing needs, may it be simple accounting, word processing or difficult graphical designing. However, not everybody of us owns one, and to acquire one seems out of reach. Not everybody has $750 in their pockets to folk out for a new or refurbished laptop at short notice. Therefore, since most of us rely’s so much on the laptops, buying one is a necessity. If short of cash, there are many laptop finance deals that can be reached between the purchaser and the seller.... [Read the full story]

Payday Loan Tricks Be Wary About

Feb 9, 2011 - 1:34:47 AM

The payday loan is a popular choice from all! It is one the most famed and high in demands loan endowment. The loan is easy to acquire and get hold of. You may not have to face nay difficulty as they are not at all risky. The loan grant works wonder for those who wish to grab n access over fast cash some to cover up the requisite needs and course. At time you might have fallen in an abrupt crunch and for you it may seek difficult to handle such a core. At that time if you simply opt for this loan endowment, we bet you will feel the luckiest on planet!... [Read the full story]


Newest Articles in Popular Topics:

Business & Marketing Computers & the Internet Entertainment Health & Fitness
Finding Ways To Save Money And Maximize Revenue In Business
Cooper's Golf Park Tees Off Their New Website
Fiinovation Adjudged CSR Team of the Year & Caring Company at World CSR Day
Reasons Why Kale Realty is the Best Real Estate Firm in All of Chicago
Montreal Tech Startup Kangaroo Rewards Launches Mobile Loyalty Program for Local Merchants
It is time we break out of the SEO Shelter
3 Strong Reasons You Should Start Your Own Blog
Evolve Your Career With CompTIA A+ Certification Exam
High speed VMware Backups - Powered by UltraBlaze() from Vembu
Things to Consider When Selecting a Domain Name for Your Website
Fling Boom "Launches" This Holiday Season
Beautiful Abstract Canvas Art is Up for Grabs
Buying Art as a Gift: Tips From an Expert
Complete Guide to the 2014 Gatlinburg Fine Arts Festival Released by Jackson Mountain Homes
Learn Blues Music Online-Alternative to Traditional Piano Lessons
Causes and Treatment of Acne
What Type Of Constipation Home Remedies Are There?
Manual Wheelchairs: Buying One
Instant Facelift with Dental Implants
Lasik Surgery Leading Correction Of Vision Issues

Home & Family

Shopping

Sports

Travel
Enhance Your Learning Experience Through Best Responsive Elearning Development Tools
Best Apps for Learning German
Esvees is Cranbourne's Elite Hair Dressing Company
Ozone Generator
Practical Tips When Choosing Gates and Gate Openers for Your Home or Business
Why Cases are Required for Mobile Phones?
Are Dealership Services Worth It?
2015 Jeep Grand Cherokee Named Must-Shop SUV for Towing from AutoTrader.com
Online Selling With An Appraisal Advantage
Macsome AudioBook Converter released New Version V2.0.4
Aditi Ashok signs off with a double
Softball Coaching: Avoid Becoming A Nattering Nabob of Negativity
Softball Coaching Tips - The Funnel Approach
Pick Up Specialized Advice on Jumping Exercises Which Are Highly Effective
Vertical Jump Training Tactics to Increase Your Athletic Performance
Tips for Choosing the Right Paris Short Lets
Hostels - the best choice for working womens and college students
Perfect holiday? Book a cruise and sail in Croatia!
Say Aloha to Your Best Vacation Ever with Kohala Coast Properties
The Perfect Guide for a Fantastic Family Trip to Kansas City

 



Follow & Share Your Favorite Video Articles

Tell a Friend About This Site



Chamber of Commerce - on the Web logo



Subscribe to the eMarket SmartsTM Newsletter in order to keep up to date with what's happening with dime-co.com, get the emails on new video articles, featured articles, and more. Your privacy is always protected. We never rent, sell or trade your private information

:
:

Service provided by GetResponse Autoresponders


Recommended Associates


Latest Articles in All Categories


Putting Up a Small Commercial Printing Business
So You Might Be Unemployed And Desire To Become A San Francisco Real Estate Investor Now
Meditation and Mindfulness: Dealing With Emotion
CPA Websites: Five Essential Ideas for Composing Convincing Articles
Set Goals In Order to Come Up With Your Action Plan
Is the Air in Your Home Safe to Breathe?
Coarse Fishing Tackle Review: The JW Young 13ft Trotter Rod
Section 1031 Exchanges For San Diego Real Estate Investors
Phoenix Real Estate Investing For Highest Possible Earnings
Legendary are the Volk Racing TE37 Wheels
Developing the Next Generation Wall Station (ChaseDesk™) for Healthcare - A Case Study
What are step down transformers?
Introducing Sharehype, the Revolutionary Tool for Online Marketers
Rewards To Shopping For Austin Real Estate On The Web
Hydroponics for Beginners



Do you write?

Would you like submit your articles and have them approved on a priority status? Find out more about how you can become a Priority author for pennies a day! Click here.

Dime-co.com Home
  • Business (9328)
  • Computers & The Internet (5740)
  • Entertainment (1348)
  • Family (958)
  • Finance (1963)
  • Health (4246)
  • Home and Living (6670)
  • Marketing (6113)
  • Shopping & Product Reviews (2624)
  • Sports (694)
  • Travel and Vacations (1689)
  • Video Articles (1)
  • Editors Pick (1)