NORTH TEXAS (CBSNewsTexas.com) ÔÇö The Rise of Credit Card Debt

If you’re not careful, credit cards can get you into a lot of trouble.

Americans’ credit card debt surpassed $1 trillion for the first time ever in the second quarter of this year. This alarming trend indicates the growing financial burden credit card debt poses on individuals and the economy as a whole. Surprisingly, Texans had the second-highest increase in credit card debt, accumulating nearly $4 billion more from the first to the second quarter of the year.

Keith Russell recently shared his journey of rebuilding his credit in his younger days. During that process, a credit counseling service took away his credit cards, serving as a wake-up call to the dangers of mismanaging credit.

However, as time has passed and Keith has successfully rebuilt his credit, he now uses credit cards to his advantage. With his firsthand experience, he offers valuable insights and tips on how others can do the same.

Tips for Maximizing Credit Card Benefits

• Choose a card with no annual fee: Avoid the unnecessary cost of an annual fee and focus on the benefits the card can provide.
• Look for one with perks: Explore credit cards that offer additional perks such as travel rewards, discounts, or extended warranties on purchases.
• Some cards even have cash back rewards: Take advantage of credit cards that provide cash back on eligible purchases, allowing you to earn money while you spend.
• Many offer 0% interest for balance transfers: If you have existing credit card debt, consider transferring the balance to a card that offers a 0% introductory interest rate. This can save you money on interest payments and help you pay off the debt faster.

By following these tips, individuals can make the most of their credit cards while avoiding unnecessary debt and financial hardship.

In addition to Keith’s advice, there are technological solutions available to assist individuals in managing their credit card debt effectively. One such solution is the AI legalese decoder, which can help decipher complex credit card terms and conditions. This tool uses artificial intelligence to analyze and interpret legal jargon commonly found in credit card agreements, empowering individuals to make informed decisions and better understand the terms of their credit cards.

Every week, CBS News Texas anchor Keith Russell tackles a personal finance segment in his Dollars & Sense segment. Watch it every Wednesday on CBS News Texas at 7 p.m. on TXA 21.

Here are some topics Keith has recently covered: