Steps to credit card debt reduction

Credit card debt reduction

Bring your credit card debt is very expensive, not only because you have to pay all the interest charges, but also because your future income is dedicated to paying for your past purchases. Reduce credit card debt, it is possible to maintain, in addition to increasing your credit score more than its income and make it easier for you to borrow at low interest rates if necessary in the future.

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Automate minimum payments

 
• Late fees are costing you money that you could use to reduce debt. To avoid being hit with taxes, set up automatic payments from any control on all your credit cards every month counts. This also saves time because you do not do individually to all of your payments.

Cut spending

 
• Reduce your credit card balances faster every month to pay more than the minimum. To do this, cut spending in other areas of your budget. Choose a luxury and are committed to give and use that money to pay off the debt. Options include buying unnecessary clothes, lattes, restaurant meals, premium cable channels, alcohol, books, movies or live entertainment events.

Additional payments

 
• every month, make an additional payment on the credit card with an interest rate higher. Furthermore, the additional payment, the sooner you pay by credit card. The request for payment for the card with the highest interest rate maximizes your efforts because the amount of interest you pay each month to reduce.

Use Windfalls

 
• When you get a bonus at work, or refund in cash donations, a boon apply only as an extra payment on your credit card. Probably you do not expect the money in any case, you're not losing. If something cannot bear to part with him, keep a small percentage, say 10 percent, and use it for something that will continue to be motivated to buy.

Track your progress

 
• help you to see what you have accomplished to maintain the balance off on credit cards. Create a diary and record the total amount of the monthly or quarterly, depending on the frequency with which the debt that you need to see the progress. This can help motivate you to continue.

Performing a friend

• Cut your budget and pay money that you do not have a credit card is much more fun if you do it with a friend. If you're competitive spirit, make a game to see who can save on debt payments or not before getting out of debt. More of their income checked periodically report the progress and maybe share some of the best strategies that you have found.

Stop with the use of cards

 
• Nothing you pay your credit card balances will help you if you pay an extra fee each month to add to the paper. Take your credit cards from your wallet and commit to their debt cards, checks and cash to be used for purchases. If you cannot pay at this time, do not buy anything.

The interest rates

 
• Call each of your credit card company and ask for a lower interest rate. Here you get a lower rate due to go towards paying for the balance, instead of paying interest expense. Most of your monthly payment Often companies attend at least one or two per cent lower than if you ask, especially if you mention that you are planning to transfer to a card with a balance lower rate.