Keep the Credit Card or the House?
When faced with financial hardship, do you keep the credit or pay the mortgage. According to Michael McAuliffe on MSNBC, paying off credit card bills before paying your mortgage is becoming a growing trend. Consumers are using their credit cards to buy food, clothing, and pay their utilities, while at the same time their home is getting closer to foreclosure. These consumers feel they are going to lose their houses anyway, but is that the smart thing to do? After all, losing your home to foreclosure will have a greater negative affect on your credit. Watch the video and see what a recent survey by Capital One found.
For more on this read:
People Choose To Pay Credit Cards, Default on Mortgage
Harried homeowners seek out help
Greenspan predicts long recession
Apply subprime lessons to credit cards
Tags: consumers, Credit Card, credit card bills, delinquent mortgage, economy, growing trend
