Who I am?
If you are visiting this website you are likely here because you are looking for information on credit cards. That is exactly what we have on this site. However I feel I should start by letting you know a little bit about myself and why I created this site. After all how will you know if what I tell is any good if you don't know anything about me.
For starters my name is Douglas Adams and I am an accountant. I work at small firm and I mainly help average people with their day to day finances. Things like doing their taxes, planning for retirement, you know the usual stuff. Over many years of doing this one thing has become very clear and that is that most people have no idea about credit cards. Whenever I see clients who are having financial difficulties or aren't saving enough for their retirement goals it is almost always because of their credit card debt. Basic accounting shows how seriously peoples credit card debt affects their financial well being. With that in mind I have created this site to help teach people about credit cards and how to use them properly.
The biggest problem that I see when people come into my office with credit card debt issues is that they have used their credit card to buy things they shouldn't have been using it for. Things like going out for dinner for example. If I told you that in order to pay for dinner tonight you would have to borrow the money from somebody else to pay for it at a twenty percent interest rate rather than using the money you have in bank you would say I was crazy. But that is exactly what you do when you pay for things with a credit card. Using a credit card is taking out a loan, you have to keep that in mind and you have to use your card accordingly.
The second biggest problem that I see is that people grossly underestimate how much it is costing them to carry a balance on their credit card. If you went into the store to buy something and then got to the cash register and they told you the price would be three times the price on the label you would probably just drop the item and leave. But this is exactly what happens when carry a balance on your credit card. The interest really adds up and will cost you several times the price you initially paid for an item.
The third biggest mistake that people make is closely related, they seem to think that if they haven't maxed out their card they can still afford to buy something. This isn't actually true, realistically unless you could pay cash for an item you really can't afford it. It is never a good idea to max out your credit card.