Wednesday, March 3, 2010

How to Cut Credit Card Debt

Spending too much on your Credit Card. Do the Bills keep stacking up..?? Want some easy tips to counter that..?!? Then read on..:)

As we all know with the evolution of payment methods, credit has taken top seat in all parts of the world. Some people can rarely do without there credit cards. With internet becoming market place its just adds to the credit cards final total $$$. Some people have no idea about their spending until the dreaded bill comes.. and then all hell breaks loose. Thats why i thought i'l give you few "solutions" for that ever growing head-ache.

One major thing you have to keep in mind is your creditor is probably very willing to work with you. Its in their best interest to have you making some payment versus no payment. So here are a couple points to help you deal with your credit card debt.

The First thing you have to do is simply contact your creditor and let them know your situation. Ask for a lower interest rate or a repayment plan. You might not have thought of it because you're just naturally so polite but its a very good strategy to be courteous at all times when negotiating with your creditor. Polite, but firm. Come across as one who knows what you're asking for and expect to get it. If you're not sure what you're asking for in the first place you might consider a reputable credit counseling service. There's a lot of great, honest organizations out there whose mission is to help you work things out with your creditors.

Next you've GOT to stop using your cards. This is actually one of the hardest parts of cutting your credit card debt. Its like you're addicted to spending money you don't have. So go cold turkey and drop the habit.

Then Start paying.. the ones with the highest interest rate first and work from there. How do you do that? Concentrate on those high interest rate cards by paying more than the minimum balance each month. The minimum is just designed to keep you on the hook longer anyway. The credit card companies are in this business to make a profit and want to have you paying them for years to come. Even a little extra each month makes a big difference in the long run.

Lastly, keep your chin up and have a good attitude. Millions of folks just like you have begun to cut their credit card debt by following the common sense steps outlined above. You can do it too. Good luck.

No comments:

Fight Global Warming

Fight Global Warming
Fight Global Warming