Thursday, February 3, 2011

Your agreement to overpay

Using credit is your agreement to overpay.

A $1,000 item paid for in cash costs at most $1,000 and you own the item then and there.

A $1,000 item purchased with an 18% credit card will cost you $2,114.41 ($1,115.41 in interest) and you will not own the item for 153 months.

Are $1,000 things worth $1,000 or $2,114.51 in your world?
More Debt Management

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