We are in an economic crisis today. The mortgage lending rates are hurting and loans to consumers are now being shortened. Many major companies are afraid to let out much more credit. This can send us spiraling into a deep depression if we are not careful. The interest rates from credit card companies are getting very high. In order to compensate from the loses credit card companies find that they must charge us more fees and higher interest to compensate from those who are not able to pay back what they have borrowed. The employment rate is terrible with many being jobless. Lack of work, high interest rates is all overpowering effects on the economy.

What can you as a consumer do to help remedy this situation? First take a check on your own spending habits. Make a strict budget and stick to it. Also start a savings plan that you can use in case of the possibility that you might lose your job. Then you should pay off your credit cards and not use them unless it is a real emergency. When you do use your credit card make sure to pay it off in the months time allotted to you as a borrower. Do not open up multiple credit card accounts causing you too lose money in interest and fees. Be smart shop wisely. You can buy things at a much cheaper rate if you shop around to find bargains. We need to get back to the original pay as you go method that made our nation the great country that it is today.

The government is trying to bail us out by giving us some extra money in our economy. This is great idea if we use that money wisely. We cannot use that money to make more debts but instead use the money to pay the debts that you already own. You can also use the money for basic living expenditures but this is just a band aid not a fix in our economy. We need to work together to help mend the economy if we want to get back on easy street. We should look to our own nation when it comes to buying products. Buy American products in order to help the American worker. We may find that foreign products are cheaper but not in the long run if you find that we are unemployed with no money to spend then buying American is cheaper and wiser. Our economy needs to be sound if we want a sound credit system. Our use of how we charge and pay back our bills can make or break our economy. It may seem difficult at first but take control of your spending and it will work for us all.

As time goes on, the economy will only get better because it works in cycles. We are going to reach our high points and our lows; it's a way of life. Just keep in mind that you are the one that's ultimately responsible for your credit. Be careful and don't spend over your head and the credit crisis shouldn't hit you personally.