Everywhere you go it seems like you are being bombarded by people wanting to loan you money, people wanting to consolidate all of your debts, over and over, you see it everywhere. Even though all of these different offers really sound good and attractive on the outside, many are simply traps that can actually drag down your credit rating even more. Below are things you should try to avoid if you can. It will be a lot better for you in the long run if you can avoid them.

Try to stay away from the lure of the low or no interest rate credit card. Banks are always sending out solicitations by mail, email or phone promising you the best deal ever with their low or no interest rate credit cards. If you don’t have much debt this might be alright in case of an emergency but if you are already in debt these can be really dangerous. These kinds of card will carry stiff penalties and if you are late even one time that offer of free or low interest is immediately voided and you’ll be stuck with a huge interest rate.

A lot of cards are always trying to entice a person to transfer their current balances over to their lower interest card. This is usually at a very low interest rate, but what they fail to tell you that this low rate is for only a limited time and will end and if you don’t have the transfer paid off you going to end up paying higher interest once the low rate offer is over. You could end up spending more in the long run.

Sometimes you will find car dealers offering all kinds of tempting offers to help them move their new models of the lots. They will sometimes offer a top value trade in offer for the car you have. If you are making payments on the car they want you to trade in they will do what is an upside down car note. In the end you will end up paying more money for the new car than it is really worth. They’ll take your car as a down payment but they will add the rest of your amount owed on the old car to your new car. Ouch!

Don’t go around to all of the shopping sales and use a credit card, unless of course you are planning on paying off the total the same month you went shopping. If you don’t, you are going to end up paying for all that interest on the items you bought and more than likely the sale will no longer be a sale because the interest will either nullify the entire sale or even make you end up spending more.