How would making a law that makes credit illegal, until the U.S. dept is 95% paid?

The U.S. government would not function without taking on debt. They routinely spend more money than they have. Even if you did outlaw debt it would take 6 years of collecting taxes and using zero percent of it to fund the government. If you only cut 5% and used it to pay principle it would take something like 100+ years to pay off the debt.

the overall value of the economy would be 95 percent less if we did that the value of the dollar would be around a thousand times what it is now and pennies would be like dollars

the illusion is what makes the world go round if everyone payed back all their debts there would be effectively Zero dollars in circulation

read more about the mandrake mechanism

That's like one of those according to whom compared to what questions. I mean what's the question how would it effect me or how would it effect you? I know Bush & Cheney could care less that the police came and moved my neighbor his wife and three kids out of his house that he spent the last 22 years paying the bank every month.

Without some system of credit the modern economy would collapse back into the barter system

Credit is not bad, it is just misused

yea the national debt isnt the sum of everyone's credit card debt, thats a totally different issue.

The word is "debt". Learn to spell before you try dictating economic policy.