How to Eliminate Credit Card Debt
These days, if you are deep in debt and a little overwhelmed by it all, you are not the only one. Credit card debt is an increasing problem for many people these days, with balances getting larger and larger and minimum payments increasing to unmanageable levels. However, you absolutely can bring down your overall debt by adhering to a few quite simple strategies:
1. Avoid Incurring Late Penalties
Tardy payment fines (late charges) have been getting bigger and bigger in recent years, and the grace periods for credit cards have been reduced. Be certain you always pay nothing less than your minimum payment, and pay it on time. If you are absolutely unable to pay even that, then call your credit card bank and alert them. You might be able to buy yourself some time.
If you are late with even a single payment by as little as a day, there is a very good chance the bank will raise your interest rate, often by 50% or even more. Over time, this can can add up to charges far more significant than the 30 or 40 dollar late fee.
2. Have Your Interest Rate Lowered
If your credit card interest rate is too high, call your bank and ask them to lower it. Odds are, you could find a lower rate elsewhere, and your bank knows this. So call their bluff. Tell them you can get or have been offered a lower rate, and ask them to match that rate. If they refuse, all you have lost is a phone call. But if your request is reasonable, there is quite a decent chance your bank will drop your rate to a more manageable level. This is a good first step in do it yourself debt negotiation and eliminating your bills altogether.
3. Obtain a Brand New Credit Card
If your bank refuses to lower your rate, simply search for a lower rate card and transfer your balance. There simply are a vast number of credit card companies that are happy to accept balance transfers. The fact is, while you might well have missed or been tardy with some of your charge card payments, and your interest rates have risen, there’s a fine likelihood your actual credit score has not yet been affected. Banks usually alert credit bureaus when payments are significantly late (by like 30-60 days). If your credit rating remains unscathed, there should be nothing stopping you from finding a card with a lower rate and saving lots of money in the process. Once you have lowered your payments, you can begin investigating do it yourself debt settlement and do it yourself debt elimination