The woman was in her 80s when she arrived at the South Carolina State Credit Union seeking financial counsel.

She worked at several state agencies but amid the hustle and bustle of life had let her financial health diminish.

Her struggles brought her to the SCSCU with the desire to take advantage of service provided.

"I learned to live on a budget and really didn't suffer that much," the woman said,.

The reason for her success?

"Perseverance," she said. "You have to stick with it."

The story is one of many being told throughout The T&D Region and the state as more and more people find themselves struggling with debt and particularly credit card debt.

"I have been doing this for a long time and we constantly see people struggling with credit card debt, but it seems to be increasing more and more now," says Suzette Morganelli, SCSCU financial counseling and education manager. "A lot of people were struggling financially even before the crisis in the rising cost of gas and food. It impacts everything."

South Carolina Bank and Trust Chief Financial Officer John Pollok declined comment on credit card debt among T&D Region customers -- except by noting that for the most part "there are no significant credit issues" -- but he said there is little doubt that credit card debt problems have increased statewide.

Nationally, bank experts say the average household has 13 credit cards and $8,500 to about $10,000 of credit card debt.

"More and more people are using their credit cards to live off of," Pollok said, noting the average gasoline bill alone is up about $2,002 per family on a yearly basis.

"Wages are not going up that far and so we see more people using credit cards to pay for gas," he said.

In light of the challenging times, the South Carolina Federal Credit Union will host a budgeting workshop this Tuesday, July 29, at the SCFCU Orangeburg branch on Boulevard Street.

SCFCU Orangeburg Branch Manager Raoul Sailer says the workshop is part of the credit union's "sensitivity" to people locally in need of budget assistance.

"We will be talking about paying down credit card debt by paying off higher-interest credit card debt with lower-interest loans," Sailer said. "We believe that if someone masters some basic skills of budgeting, that will certainly assist them to avoid spiraling into debt."

Thetyka Husser, SCFCU community relations director, says there are about 30 individuals signed up for the workshop with late sign-ins likely to bring the numbers up.

She says the credit union's budget workshops continue to be of great interest. The goal for 2008 was to reach 2,098 people with free financial education seminars and workshops. Through half the year, the program has reached 2,589.

"We have seen how open the community was and we adopted something the community wanted us to continue to do," Husser said.

Sailer said the workshop comes at an ideal time in light of the concerns he hears from customers related to the economy.

"This underscores the need for this type of budgeting seminar," he said. "Any time we have a decrease in disposable income, it is that much more important for us to have a plan."

For Morganelli, spiraling debt is a good way to describe the situation many of her clients have found themselves in.

"Those people struggling don't even have a hope of getting ahead," she said. "They keep struggling more and more because they are not paying their creditors."

Bankruptcy has been a last resort, Morganelli says.

"People are looking for a quick fix," she said. "We tell them quickly there is no quick fix. It takes perseverance and commitment. It is about people making up their minds to be committed."

The basic thing for people struggling with credit card debt is to set up a budget.

"It is about the difference between a need and a want," Sailer said. "It is about the difference of being a spender or a saver."

Sailer said compulsive spending often contributes to credit card debt. He said there are two main ways to reduce credit card debt.

* Pay the smaller balances first. "This will give a sense of accomplishment that you will be able to pay off a credit card that will reduce the debt-to-income ratio by eliminating one of your credit card debts."

* Pay off higher-interest credit first. "You will be charged less in the long run and will eliminate your higher-interest debt first," Sailer said.

But Sailer said it is more than just about getting out of debt, it is having one's eggs in different baskets.

"It is a good idea for somebody to build an emergency fund and savings account ... that will reduce the chance of an emergency expense comes up," he said, recommending three months to six months of savings.

For Morganelli, she says financial literacy is sadly lacking among many -- and it does not discriminate.

"I see people from 19 to 20 years old up to 80s," she said. "I am seeing young people today learning to manage money from their parents who are seeing me."

She said consumers need to avoid those agencies or individuals who promise to clean up credit for a fee.

"Some of these people charge unbelievable interest rates and people can't get from underneath it," she said. "Nobody can clean up credit, except themselves. If you own debt that is yours, you have to own up to it."

T&D Staff Writer Gene Zaleski can be reached by e-mail at gzaleski@timesanddemocrat.com or by phone at 803-533-5551. Discuss this and other stories online at TheTandD.com

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