So you’re struggling with credit card debt? You have a high balance compounded with an equally high interest rate? I’ve been there so I know the painful, noose around your neck, feeling that a huge amount of credit card debt can give you. The good news is that after years of hard work I was able to get out of credit card debt and so can you. Here are some tips that should help you out.
First, stop spending! I know it sounds like something you should already know, but you would be amazed how many people continue to spend money on the credit card and wonder why they can’t pay the balance off. I’ve been there and it’s impossible to do, believe me that balance will never go down if you keep increasing the new purchase amounts on it. Cut the card up, give it to a friend or just leave it at home but whatever you do stop increasing the balance you are trying to pay off.
Next, lower your interest rate. There are a few ways you can go about this one, first you can try calling your existing credit card company and see if they will work with you on lowering your rate. If you have a good payment history they probably will work with you because they don’t want to lose you but if not they may refuse. If they give you a hard time tell them that you will take your business elsewhere to drive up the pressure. If they still refuse, act on your promise and fill out one of those offers for 0 balance transfer credit cards and cut your interest rate on your own.
Once you’ve done the above you need to figure out a payment amount that will get you to where you need to be. If you do a balance transfer to a 0% introductory rate then you probably will get a six month window so you will want to maximize your payment for maximum effect. If that’s too aggressive then put all of your finances down in a personal budget and see how much you can afford. Taking little steps like cutting out unnecessary expenses like Starbucks and dining out will make a big difference if you put that money toward your balance instead. Make sure all of your necessary bills are paid but after that put every single dollar you can toward your outstanding balance and you will be debt free in no time.
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