The credit card trap

Closing the credit card will not give you the result you want. The problem isn't the credit card, but the way you've been using it. I have credit cards but I am aware of how much I can afford every payment period and so I don't go on spending more than what I can afford every month. Money I don't have in the bank, I don't spend. I hate paying interests, and so if I don't have enough money I wait until I save enough. Credit cards don't make money out of people like myself who always pay on time and in full, but out of people, who like you, don't restrain themselves when spending money they don't have. Therefore, I suggest that you don't close your credit card, unless you cannot control your spending habits. Instead I would suggest that you leave the credit card at home, and pay it. Make a plan on how you will be able to afford monthly payments. If you can only afford $500, you know that this money will go to pay the monthly interests and then the principal ($10000). So once you know how much you pay on interest, then you will be able to plan it and see how many months (years) will take you to pay the whole amount. This will teach you to think long term and make you doubt next time you go shopping things you cannot afford. It will also prepare you for later in life as you will be better qualified to handle your finances. You don't say how much are you being charged on interests.
Call your credit card company and ask them if they can lower your interests. If the person who answers says no, ask to speak to a manager. If this doesn't work, then check your other credit cards and find out which one offers you the lowest interest rate, and make a balance transfer. Be responsible and make your payments if you don't want to mess up your credit report and score because if you fail to pay, this will stay for 7 years in your records and next time you need credit your interests will go higher because lenders will see you as high risk. Remember that the trap is set for those who don't know better, and cannot control themselves. You are smart, so don't fall in traps you already know are there. Learn from your mistakes so you can avoid them next time. Mr. Dodd says it has taken a while for him to gather support for the bill, and last week the banking committee approved it by only one vote. Republicans and bankers who oppose the bill had argued, and continue to argue, that no law is needed because the federal regulations are tough enough. Mr. Dodd, who has faced criticism for his role in bailout legislation that allowed executive bonuses, could help himself by holding firm on his credit card bill. The Federal Reserve regulations are useful, but consumers should not have to wait for real help until 2010.

http://www.nytimes.com/2009/04/06/opinion/06mon3.html?_r=1