Substituting credit for cash
The rationale: You're between paychecks — or jobs — and your cash flow is clogged. Or maybe you just prefer the convenience of whipping out the plastic.
The rebuttal: Form a habit of making everyday purchases like groceries, gasoline and restaurant meals on credit, and you could still be paying off those debts long after you've consumed the goods.
Lisa Ray, a former financial education specialist for the Consumer Credit Counseling Service of Greater Atlanta, now known as Clearpoint, suggests using a debit card if convenience is your goal.
And if you're constantly using credit cards because you find yourself low on cash, it's time to make some lifestyle changes.