One of the consequences of an ailing Europe is the pressure it could put on European banks. With the amount they have invested in European government bonds any defaults will trigger big losses.

Big banks making big investment losses means they will go in to the bunker and not lend us much. So a credit will be harder to get and it will cost more if you’re successful. Interest rates will rise.

So it might be worthwhile cherishing those lines of credit which you already have approved. Even if you pay down the line of credit, think of keeping it open in case you need it in the future.

Some analysts are even saying it’s better to apply for a line of credit now while it’s still available and just have it sitting there unused as a way of safeguarding for the future.