Minimum Payments, Maximum Cost

Your creditor knows you have a lot of financial obligations, so it gives you the luxury of making minimum payments, an amount that's only between 1-3% of your balance and is sometimes less than your finance charge. Isn't it nice of them to give you that courtesy?

Have you ever heard of a creditor doing something nice for its customers? Of course not! The courtesy you think is allowing you to have more room in your budget is actually costing you. Minimum payments take a little money over a long period of time so you may never realize just how much money you're unnecessarily spending unless you look at the big picture.

Are you brave enough to see how much your minimum payments are costing you?