Don’t just blame the banks – take re­spon­si­bil­ity

Money Magazine Australia - - FROM THE EDITOR -

I started sub­scrib­ing to your magazine at the be­gin­ning of this year after bor­row­ing sev­eral old is­sues from the lo­cal li­brary. I love your re­search, stock rec­om­men­da­tions and fi­nan­cial ed­u­ca­tion for chil­dren.

But I don’t agree with the gen­eral note of blam­ing some­one else (banks in this case) for one’s de­ci­sions (In Your In­ter­est, Au­gust). De­spite banks giv­ing in­cor­rect advice, I firmly be­lieve it’s up to an in­di­vid­ual to re­search credit card con­di­tions and plan ac­cord­ingly – the in­for­ma­tion and small print are read­ily avail­able online. It is also com­mon sense that spend­ing $7000 a month on a $5000 monthly salary will lead to debt. So we have to take re­spon­si­bil­ity for our own de­ci­sions – it’s very lib­er­at­ing!

I used bal­ance trans­fers suc­cess­fully when I was left with a $24,000 credit card debt after the sale of my busi­ness in 2010, with the new own­ers still us­ing my credit card from old records.

I ap­plied for a new 0% in­ter­est bal­ance trans­fer credit card just be­fore ex­piry of the pre­vi­ous one ev­ery six months and I was able to pay off my debt within two years on a sin­gle salary. Mon­ica

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