As home equity loans become harder to get during the subprime mortgage crisis, credit card rules are also tightening. Consumers need to find alternative ways to consolidate debts and manage their finances during this stormy economic period.

Recent news coverage of the demise of the subprime mortgage industry shed light on another emerging threat to the American homeowner. Not only are mortgage woes plaguing consumers, the pinch is also being felt by those who use credit cards.

Read the fine print

If you own a credit card, you can expect a slew of mail containing pamphlets related to changes in the terms of your cardholder agreements. It seems that credit is getting crunched all across the U.S., and credit card companies are taking steps to protect their businesses from delinquencies and defaults. Within those little pamphlets is lots of fine print and complicated legalese that you may not want to read. But it might be in your best interest to sit down with a magnifying glass and study it. Major credit card companies are making important changes to their rules that are directly related to everything from your credit limit, to the amount of money you'll be penalized if you make a late payment or charge over your established credit line.

The bottom line is that there's a strong likelihood that your available credit may be adjusted downward while fees and late charges increase. If your credit limit gets lowered, and you don't realize it, you run the risk of incurring over-the-limit charges. A lowered limit can also have a detrimental impact on your credit score, which means you'll be charged higher interest and have a harder time qualifying for a debt consolidation loan at your bank. Soon the cycle can begin to feed upon itself and spiral out of control, leaving you with less ability to borrow money, and fewer options for managing your personal finances.

Home equity loan as life preserver

Whenever credit card debt becomes burdensome, a popular solution to the problem is to take out a home equity loan and consolidate your debt with a cheaper interest rate. Unfortunately-just when many consumers need it the most-that life preserver is slipping out of reach. As a result, debt consolidation is much more challenging, so it's best to pay off your debt by any means possible, and then avoid using credit cards as a substitute for traditional bank loans.

Congress is encouraging lenders to show leniency toward those facing foreclosure, and that should alleviate some of the subprime suffering. But it's important for those who are saddled with credit card debt to be proactive. If you need professional guidance, call a non-profit consumer credit counseling agency and let them assist you. But make an appointment soon. There are so many Americans faced with financial headaches related to their mortgage and credit card debts that there's currently a rather severe shortage of credit counselors.