A friend of mine graduated from college two years ago and has had a very hard time dealing with banks and getting loans ever since. While Eric was in college, he had three major credit cards thinking it would be a good idea to build up credit. He basically bought everything with these credit cards not paying much attention to how he was going to pay the bills when they came in. He did not realize how high the interest rates were on the credit card bills and just figured he could put off paying the bills for a few months, while searching for a higher paying job. Well, time kept going by and after he graduated, he was $10,000 in debt. He has been paying off his bills slowly, but not fast enough. Eric is supposed to get married in 6 months and he and his fiancÚ want to buy a condo. Unfortunately, he cannot get the loan because of his bad credit. He is in the same situation with buying a new car. Even though he is not looking at very expensive cars, he still cannot get a good enough loan to pay for the car. Eric now realizes how important it is to stay on top of your bills because the interest can add up very quickly and once you have bad credit, banks will not give you a loan.