How to Get Out of Credit Card Debt
With debt close to an all time high in the US, reducing your credit card debt is an important way to reach financial health. There are several principles and methods to follow to help reduce and get rid of your credit card debt.
Freeze your spending
The first principle to follow to reduce your credit card debt is reduce your use and need for credit cards. Take any credit cards that you have maxed out and cut them up and throw them away. A credit card which has reached its credit limit will do you no good, don’t tempt recharging it back up. Get rid of it. Any remaining card you can freeze in water in your freezer. You still have it for emergencies, but its every day use can be eliminated.
Sit down with your mate if you’re married or with a trusted friend and write out a budget. Realistically face your expenses and income each month and find out if you are overextended. You may find that you are spending more each month than you bring in, if so, you need to reduce your expenses.
Use credit counselor services
Local non-profit credit counseling organizations can help you reduce your interest rates, negotiate with your creditors, and setup a budget to help you return to financial health. Seek out these in the yellow pages.
Pay with cash
Cut up your credit card offers when they come in. Not seeking out new credit is one way to help reduce your chance of running up new credit. When you decide to make a major purchase, save up and use cash.
Reducing your credit card debt can not only help your financial health, but also reduce your stress, improve your marriage, and help your future.