Millennial Money: 8 tactics to break credit card debt cycles

Posted at 4:05 PM, Apr 12, 2022
and last updated 2022-04-12 19:10:34-04

(AP) — After paying off credit card debt, it’s important to evaluate your relationship with plastic to determine whether a second chance is worthwhile.

While a break from credit can be necessary and useful for establishing new spending habits, doing away with a credit card entirely could negatively impact your credit.

Credit cards aren’t a match for everyone, but they can be helpful tools in your credit journey if used responsibly.

If you’re considering returning to credit cards, a stay-out-of-debt plan that is tailored to your motivations may prevent debt the next time around.

  1. Reflect on Spending Habits
  2. Use Cash for Certain Categories
  3. Track Spending
  4. Use Credit Cards for Planned Purchases Only
  5. Have an Emergency Fund to Fall Back on
  6. Don’t Store Credit Card Info on Websites or Apps
  7. Get an Accountability Partner
  8. Update Your Strategy