Ten Bad Credit Habits That Will Lead to Disaster

By LESLIE HUNT

Sometimes the only way to stop a snowballing problem is to go back to the top of the hill and find out what started it.

If you're up to your eyeballs in credit card debt, take a step back and recount your money missteps. Knowing your weaknesses could help prevent you from falling back into the bad credit pit and show you a way out.

Misusing Balance Transfers
Not Checking Credit Reports
Not Creditors About a Financial Hardship
Thinking of "Budget" as a Dirty Word
Using Retail Credit Cards for a Discount
Procrastinating on Creating an Emergency Fund
Paying Bills in No Particular Order
Charging Purchases Instead of Using Cash or Debit
Making Credit Payments Late
Making the Minimum Payment Only

According to Gail Cunningham, vice president of business relations at Consumer Credit Counseling Service of Greater Dallas, a nonprofit financial management service, consumers mired in debt make common financial blunders, most of which they can prevent with discipline and behavior changes.

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