subject: Credit Card Debt No More [print this page] Credit cards are by far the most utilized financial products. They are extremely easy to get and a person can have as many as his financial situation allows him to, and sometimes more. Being cashless is a worry of the past now that you can buy with credit and in countless instalments, right? Well, it should not work like that at all, that is the worst attitude you can have towards credit card buying. Before you know it, you will be buried alive under a huge pile of debt. And paying the monthly minimum on your card is not an option either, as interest rates will not cease to accumulate and that is the last thing you need.
Within this article you will find advice on how to become free from your credit card debt and, most importantly, how not to fall back on the old habit over again. Read on!
Say Goodbye To Pointless Shopping And Unnecessary Spending
First and foremost, you have to come to terms with the fact that you will not be able to continue spending money the way you were spending it. If so, it will be completely impossible for you to begin repaying your debt as it will continue to build up.
Make a list of some of the things you believe you could do without, for instance cable, you dogs obedience classes, going to the cinema once a week, etc. Then, get your family together and discuss whether you could replace those activities with some other less money consuming ones.
Face Your Situation And Be Honest With Yourself
More than a debt-ridding tip, this is a personal piece of advice. If you are in debt, there is no shame on it whatsoever. So quit hiding and being sorry for yourself, it is time to act! Your family and you deserve a second shot and, most importantly, a better life, and you can provide them with that.
Work Your Way Up Little By Little
After cutting down on your expenses, you will come to realize you have more money at the end of the month. Now it is not the time to begin thinking of saving, you still have a debt to repay. Gradually start increasing your monthly credit card payments, always trying to pay more than the minimum, of course. You will save hundreds on interest rate.
Consolidate Your Debt
Debt consolidation can work wonders if you face multiple monthly payments due to owning different credit cards. This will probably provide you with a lower interest rate and a single monthly payment, which is exactly what you need.
Use The Equity On Your Home
Sometimes financial situations are so horrid that the person cannot even meet the minimum payment on their card. When that happens, the best thing to do is to pay off the credit card debt as soon as possible, as interest rates are usually pretty high and they will keep on accumulating, causing you to owe thousands just on interest rate. If you happen to be a homeowner, using the equity on your home to pay back your credit card debt is a great idea as home equity loan terms are usually very favourable. And what is more, the interest rate on a home equity loan is deductible, so your savings will be huge.
by: Devora Witts
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