Personal finance expert warns over the 'vicious cycle' with going into debt for vacation

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Debt elimination expert and 'The Ramsey Show' co-host Jade Warshaw weighs in on people going into debt for vacation.

Give yourself a vacation from debt. That is what debt elimination expert Jade Warshaw suggests, as Americans reach for their credit cards to pay for travel. "It is an issue, and at the heart of it, I think it's this I deserve mentality," stressed the "The Ramsey Show" co-host during Wednesday's "Cavuto: Coast to Coast." A recent WalletHub survey showed that 46% of Americans are still paying down their credit card balance from last summer.

"I think that if you're going into debt for a vacation, you're saying I deserve this, and so you buy something that you can't afford, and you go into debt for it, you start paying it off, but before you can finish, you see something else you deserve, and you buy it on payments," she explained. If you're in a "debt-free era," she continued, "commit" to using cash to pay for vacation. "Research it right.

 

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