Archive for April, 2010
Help With Credit Card Debt – Planning for a Wealthier Future
Revolving credit, like charge cards, department store cards, and gas accounts, have given us all the ability to buy almost anything we want. Very few things that we see in the stores are out of our financial reach as long as we have a wallet full of plastic. Who wants to admit that they can’t afford those perfect shoes or the latest cool electronic gadget? Unfortunately, that kind of thinking leads to big bills at the end of the month.
If you have been stressed out over ever-increasing debt then you need a plan to reduce the amount of money you owe. But if you don’t actually change the way you think about money then you are going to end up in the same place again, with more money going out each month than you have coming in. What you need is a plan that will get you out of debt now, help you stay out of debt permanently, and give you the tools to build wealth for the future.
Step 1: Get Out of Debt
It is easy to talk about making a plan, but all the plans in the world are worthless if they are so strict that you cannot stick with it. I will warn you, the first task is tedious, but it’s probably the most important part of all. Add up all of your revolving debt, figure out the average interest rate, and start paying more than the minimum due on the accounts that have the higher than average interest rates.
Try to stop using your charge cards entirely except for real emergencies. It’s crucial that you pay more each month than the amount you spend and the interest added together. That is the only way you will be able to get out of debt.
Step 2: Build Wealth
Here is the wealth building part of the equation. Once your debt is paid off continue to make your payments. Instead of paying the credit card companies, though, make the payments into a money market account for your future. You are already used to paying that money, so it will not be too painful to continue doing it, but now YOU are the one benefiting from those payments instead of the bank.
Freedom from debt and the building of actual wealth are within your grasp, but only if you can make a plan like this and then, most importantly, stick to it.
Want to get out of debt even faster?
Credit consolidation companies can sometimes reduce your debt by 50%. Take the next step and let us help you find the right company to work with you to reduce your balances and interest rates. Click here for a free consultation or check out more information about getting help with your credit card debt.
You have absolutely nothing to lose but you could regain your financial future.
Cut your debt in half with credit card consolidation. Read more…
Consolidate Credit Cards: A Debt-Free Life in 5 Easy Steps
Suppose that there was a way that you could cut your debt in half, reduce your interest rate, and make only one payment each month on what’s left of the money that you owe. All of that is possible if you consolidate your credit cards.
Credit card consolidation simply means that you are going to combine all of your revolving debt, like charge cards, gas accounts, and department store accounts, into one account, with one payment each month. The debt management company that handles the transaction is able to negotiate with the charge card companies and banks to reduce the interest rates and often can cut the amount of money that you actually owe.
There are five easy steps you have to take to consolidate and better manage your debt.
Step 1: Limit how many charge accounts you have and be sure that the only people who use them are the same people who are earning and managing the money.
Step 2: Put a limit on how much you spend each month and budget your regular expenses. This will help you save money to pay off your balances in the short term and better help you to pay for the big expenses, like college for the kids and eventual retirement, in the long term.
Step 3: Do not get extra or add-on cards for other family members, especially teenagers.
Step 4: Research credit card consolidation firms and consultants. Take advantage of the free consultation that most of them offer and ask them about the benefits that their service features. Don’t hesitate to discuss any of your concerns about the company or about the process itself. Be sure to ask about their interest rates and about reducing the amount of your balances.
Step 5: Once you have decided which company you want to work with, gather together all of your statements and financial information and let the professionals take over from there.
The combination of these 5 easy steps and a good credit card consolidation company will set you on the road to being totally debt-free before you know it!
Credit consolidation companies can sometimes reduce your debt by 50%. Take the next step and let us help you find the right company to work with you to reduce your balances and interest rates. Click here for a free consultation or check out more information about getting help with your credit card debt.
You have absolutely nothing to lose but you could regain your financial future.