7 Ways to Reduce Credit Card Debt

I ran across this great article on Creditcards.com, 7 bad habits to break and gain control of your credit card debt:

1. Don't keep too many cards in your wallet
The average consumer holds 9 credit cards at any given time. If you fall into this category, clean out your wallet and only bring the 1 or 2 credit or debit cards you absolutely need. By the way, if you have more than 5 credit cards, you should seriously consider debt negotiation.

2. Don't charge when you should pay cash
Avoid using credit cards for basic daily expenses, such as food, gas and other small items. If you find yourself constantly charging these types of items because you don't have the cash to by them, it's time to consider debt negotiation or bankruptcy.

3. Avoiding mail from your creditors
Don't let credit card statements pile up in a corner because you're afraid to open them and see the bad news. You should be fully aware of your debt and promptly read all credit card statements carefully.

4. Using your credit cards like they are ATMs
If you find yourself constantly getting cash advances from your credit cards, then you need to revise your budget and figure out ways to make your cash last longer. Also, every time you get cash advances from creditors, you're spending an additional 2 to 4 percent in APR, as creditors charge more interest for cash advances. If you are constantly getting credit card advances or pay-day loans because your salary does not cover all of your needs, then you should consider debt negotiation or bankruptcy.

5. Losing track of rewards points
This is a no-brainer. Rewards points are like cash. So if you are losing track of them and not spending them as they accrue, you are literally throwing money out the window. Find a way to easily check your rewards points on a monthly basis, such as setting up an online account with your credit cards so that you can regularly log in and check them.

6. Not comminucating with co-card holders
If you have a spouse or family member that you share a joint credit account with, you should be in constant communication with that person about the account. Failure to communicate can lead to disastrous mismanagement of your account.

7. Throwing away sales slips
Many people hate clutter, and immediately toss their sale reciepts after they make a purpose. Don't do this; instead, keep a folder or envelope for your receipts and organize them by year or category. That way, if you are overcharged by a vendor, you can go back and have the ability to dispute a charge.