Those persistent emails from credit card providers can be annoying, to say the least; but, a recent study by the Urban Institute and the D2D Fund shows that they may help reduce credit card debt.
The six-month study focused on approximately 14,000 customers of the Arizona Federal Credit Union who carry balances on their credit card. The study sought to determine if reminding borrowers about simple financial “rules of thumb” could help them lower their credit card debt.
About 133 million people now carry at least one card with a balance, and the average credit card debt rose to $5,247 in the second quarter of this year. I believe strongly in the importance of financial literacy, so it’s encouraging to see credit card providers trying to educate their customers.
Additionally, many credit card companies now have mobile apps that enable customers to set up payment reminders and make scheduled payments, which helps their customers avoid fees and maintain their credit score.
For more on this story and to get some tips for lowering your credit card debt, read the full article at nytimes.com.