What "The Two Faces of Debt" Can Teach You About Your Debt Problems

The Two Faces of Debt was a booklet originally published by the Federal Reserve Bank of Chicago in the November 1953 issue of its monthly review, Business Conditions. The original article was written by Dorothy M. Nichols. The last revision - the fifth - was written by Anne Marie L. Gonczy and Timothy P. Schilling.
On the first page, you'll read, "People who borrow are often looked upon as lacking thrift and a sense of responsibility. But people with good credit ratings are viewed with respect -- often even with envy. Yet, the transaction is the same -- to obtain credit is to incur debt. Recognizing this identity is the first step toward understanding debt and its function in our economy. "
I agree. During the years that this publication was widely updated and circulated, our culture, for the most part, spurned the use of credit for personal uses other than buying a home or car. And then you were prompted to pay these off as soon as possible.
It has been a relatively recent phenomenon that the widespread use of credit for buying do-dads has been encouraged.
The Two Faces of Debt booklet gives us some clues as to why so many of us place our foot into the bear-trap. Having a credit line gives us instant status. In conveys a sense of wealth - albeit a false one.
If you use your credit for frivolous purposes, you're testing the trap. If you're able to keep from springing the trap, you'll be a hero.
If you get caught by the trap but are able to get out before the bear comes back, you'll be ok and will feel like Indiana Jones.
However, if you're unable to free yourself, God help you. Too many people, today, are finding themselves unable to free themselves in time.