Check out this great infographic outlining the types of debt most people accumulate and how to avoid them.
Credit Card Debt
The US holds approximately 1 trillion dollars in outstanding credit card debt. With all of this debt, chances are good that you or someone you know have contributed to this total. Avoid one of the biggest debt traps by keeping credit card usage low and paying off balances each month and never never miss a credit card payment. Fees, increased interest rates, and more can turn a small debt into an insurmountable one.
Payday loans cost much more than they are worth and should be avoided at all costs.
Medical health insurance can help you avoid this disaster which can be financially crippling and unavoidable for some based on coverage limitations and pre existing conditions.
See the infographic for more debt traps and how they can be avoided.