Be warned, if your credit score is dropping it may be very difficult to stop that boulder from rolling down a very steep hill.  Once you starting getting behind on your credit card payments or your mortgage you are likely to spiral into a deep pit of trouble.  Every aspect of your life will be affected and it may be at the very least difficult to turn around.  It will probably take years and many sacrifices to bring your bad credit back to good standing.  Debt has taken such control over our lives that it seems we are controlled at the whims of the credit card industry and other lending institutions.

It may start out simply.  First, you are running short of money one month and you put off a payment.  You tell yourself that you will make it up next month.  Next month comes and you only have enough money to catch up on the bill you put off last month.  So, now you pick another bill that you have to delay.  In the following months you find yourself constantly catching up instead of getting ahead.  So, you get another credit card to help you catch up.  You are now falling fast and have to get more debt to pay the debt you already have.

In addition your monthly income is dropping because your cardholders have raised their interest rates and you are paying exorbitant fees.  Now, your mortgage is in danger of having to wait.  By now your credit rating is falling fast and thankfully you are unable to get more credit cards.  Your car loans are more expensive as well as your insurance.  You get denied a promotion because you have bad credit and your competitor has good credit.

You are now trying to live on the same income while falling deeper into debt.  You now can’t pay any of your bills on time and you get the first foreclosure notice.  Maybe you get luck and are able to sell your home first.  Now you go out looking for an apartment only to find that most landlords are doing credit checks to find good tenants.

Finally, you find a landlord willing to take a chance on you, but you will have to pay a higher rent.  You call the utility companies to have your services connected and you find out that you have to pay hundreds of dollars in security deposits because of your bad credit.

Next your paycheck is garnished to pay off your debt and you have even less than ever.
If this scenario sounds terrifying you are right.  However, it is also not as rare as you might think.  In just a few short years you could find yourself in this predicament and before you know it you can be devastated financially.

The answer of course, is simple, pay your bills when they are do and don’t fall into the trap of getting into more debt to pay the debt you already have.  It is a recipe for disaster.