Ways to avoid running up debt:
1. Try to maintain a lifestyle that does not exceed your income. Review your household budget closely, and clamp down on non-essential spending. This can actually be a satisfying achievement if you view it as a challenge, not to mention the health benefits of a few less nights out etc.
2. Pay off the balances that carry the highest rate first.
3. Do not take out cash advances on credit cards.
4. Cut out non-essential credit card spending. If you can't afford a holiday without reaching for the plastic, just do without for this year. You could spend time freshening up your home instead - adding value to your investment instead of running up more debt.
There's nothing here that isn't pretty obvious, but are you REALLY doing all of these things? You'd be surprised how many people say they know all this stuff, but bury their heads in the sand when it comes to actually practicing it. Debt consolidation is increasing and it can be a good solution for those who really need it, but it's better to avoid getting into that situation in the first place, if you can.
