If Credit Card Debt is a problem for you, you are not alone. Fifty-five percent of americans ages 30-39 carry an average credit card balance of $2,000, some a great deal more. The simple fact is that your credit cards are pushing you deeper into debt every day. By not paying off your credit card debt you are throwing away much need money on interest payments and it’s likely that your balances are so high that you are unable to even use your credit cards anymore. Did you know that by making only the minimum payment each month you will end up paying twice the original cost of something? If you have decided that it is time to finally buckle down and get to work paying off your credit card debt follow these solutions to accomplish this.
Negotiate-contacting your credit provider regarding a lower interest rate is a very important part of the process od getting out of debt. This is especially true with higher interest cards. As long as you are a cardholder in good standing and have been making at least your minimum payments they will probably negotiate with you. Do some research on competitor’s rates first and ask them to match them based on the fact that you are a good customer. If they say no inform them that you are considering other offers and will close your account with them.
Control Impulse Buying- You can not get out of a hole if you continue to dig it deeper. Do not buy something you want right away, instead give yourself a few days to think about it first, chances are you will find you do not need that item as much as you thought. Another good strategy along these lines is to keep your credit card in a bowl of frozen water. If you find something you want think about it while your card thaws, it’s extreme but it also gives yourself a chance to think about the deeper debt you are creating for yourself.
Use Your “Extra” money- You must start making more than minimum payments even if at first you just round up to the nearest ten dollars. Use any extra money throughout the year like your tax return, work bonuses, vacation pay, don’t think about it just send it to your credit card company.
Cut up those Cards! Leave only one card for emergency use. If you continue to use all of your credit cards getting out of debt will never happen.
Remember paying off a credit card balance is not an excuse to start using it again. Think of the great feeling you will have when you are out from under those monthly payments, start a cash only policy, if you do not have the money in the bank to purchase it wait until you do.