The Credit Trap - continued - National Guard Family Program

Introduction to Personal Finance

An Overview for State Family Program Directors, Wing Family Program Coordinators, and Families.

Introduction

Evaluating Your Situation

Budgeting & Debt Management

Goals & Plans

Insurance & Disability Planning

BUDGETING AND DEBT MANAGEMENT

2.	Introduction
	2.1	Why Do We Acquire Debt?
	2.2	Debt Can Become a Habit
	2.3	The Reality of Borrowing
	2.4	The Credit Trap
		2.4.1	Fees
		2.4.2	Rates
		2.4.3	Types of interest
	2.5	Eliminate and Avoid Debt
	2.6	Trimming Your Budget
	2.7	Learning Check

2.4 The Credit Trap – continued

The Credit Card Trap

Is it any surprise that many people still carry credit cards with

annual

percentage rates (APRs) of 18% or higher?

After all, there is a whole industry of card issuers out there devoted

to using hidden fees and interest rate magic to charge you as much as

they can.