Emerson

2009's House of Pain: Consumer Loans and Credit Card Debt

To that end, I have perfect credit and many of my credit cards have either no balance, or a low balance. There are a couple that have high balances on them but that's because I use them for work or health care in an effort to simplify my taxes. Without exception, each card has sent me a letter saying that they are lowering my credit limit and in two cases, they closed my credit cards for no reason. I'm sure I'm not alone in this but in an effort to protect themselves from credit card defaults they are, in effect, shooting themselves in the foot. Why? Because if they lower my limit then that means that I'll have to spend more cash for things I need. More cash spent means less cash to pay my bills. In addition it means that I will opt to buy less thereby causing the recession to deepen and we all know where that will end up. My wife has been sick for the last five years and, while I have health insurance, they certainly don't pay for everything she needs. Do you really think I'm going to let her do without? If this means having to pay cash for her medicine and health care and neglect my credit card bills, then so be it.