Where do i start paying off my credit card debt?
I have a debt of $5,000 from a credit card. I was going to sign up for a debt relief program that the bank referred me to, but my friend said that it was a scam and you will end up paying more with them. Who do i go to that is really going to help me pay off my debt and has my best interest. I am so lost.
These companies do nothing for you that you can’t do yourself.
Get a book on Credit and Debt Repair from your library or bookstore.
The first step is to call all your creditors and see if they wil reduce the interest rate.
Tell them (lie) that you are going to do a balance transfer.
They may say you can’t – they may lie back.
Play hardball and see if you can get the interest rate reduced.
The book will tell you these things.
Then you get the card with the highest interest rate an pay that off.
Not the highest balance, not the highest amount of interest, but the highest % APR.
If you can’t handle all this there is a non-profit out there to help you at no cost.
Reviews call them angels from above.
YOu call up the 800 number and you make an appointment at a local office.
National Foundation for Credit Councelling. http://www.nfcc.org/
If they put you on a DMP , debt management program the cost is only about $30 a month, but only if you can afford it.
Again, they do exactly what books tell you to do.
These debt relied companies – welll, I consider them borderline scams.
Most people end up in court being sued anyway..
These companies do nothing for you that you can’t do yourself.
Get a book on Credit and Debt Repair from your library or bookstore.
The first step is to call all your creditors and see if they wil reduce the interest rate.
Tell them (lie) that you are going to do a balance transfer.
They may say you can’t – they may lie back.
Play hardball and see if you can get the interest rate reduced.
The book will tell you these things.
Then you get the card with the highest interest rate an pay that off.
Not the highest balance, not the highest amount of interest, but the highest % APR.
If you can’t handle all this there is a non-profit out there to help you at no cost.
Reviews call them angels from above.
YOu call up the 800 number and you make an appointment at a local office.
National Foundation for Credit Councelling. http://www.nfcc.org/
If they put you on a DMP , debt management program the cost is only about $30 a month, but only if you can afford it.
Again, they do exactly what books tell you to do.
These debt relied companies – welll, I consider them borderline scams.
April 24th, 2011 at 2:04 amMost people end up in court being sued anyway..
References :
Well, why not be a responsible adult and pay it off yourself like every other responsible adult does? Who has your best interest at heart better than you?
April 24th, 2011 at 2:18 amReferences :
Please clarify: Are you past due or have you completely defaulted on this account?
If you’re already defaulted, then save your money and offer to settle the account for less up front. How to pay credit card defaults: http://catdadsblog.wordpress.com/2011/02/04/paying-charge-offs/
If you’re not in default: If you have a hardship, try to work out a program with the credit card company.
There is only one legitimate non profit program. NFCC is a non profit organization that was set up by the credit card industry to offer assistance to people who are struggling to pay their credit card debt http://www.nfcc.org
April 24th, 2011 at 2:24 amReferences :
I would trust your bank over your friend if your friend has no business or legal expertise!
April 24th, 2011 at 2:44 amContact any debt consolidation nonprofit (will have .org in their website not .com).
Or just keep paying the debt back a little more than the minimum each month until it is paid off.
References :
The first step to paying off credit card debt is to create a household budget. You need a budget to help you figure out how much you can afford to spend on credit card repayment each month. Not only that, a budget will help curb overspending that could make it difficult to get out of debt.
Creating a budget is easier than you think. Simply add up all your monthly expenses and subtract it from your income. The remaining amount is what you’re able to spend on paying off credit card debt.
Once you’ve created your budget, the next step is to decide how you want to pay your credit cards. More specifically, which order are you going to pay your credit cards in – highest interest rate first or lowest balance first.
April 24th, 2011 at 2:57 amReferences :
http://www.gemstonefinancial.co.uk/
http://gemstonefinancial.blogspot.com/
Now is the time to sit down and add up the total cost exactly. After that all the companies and do your own negiolation. Ask to see if they can reduce your interest rate and if they can cut a percetange off your balance. Also inquire about a payment plan and explain you need help getting balances paid off. Best solution is to make payments to all your debt but try to pay off higher interest first. It is a bit hard work, but its worth it to get yourself out of debt.
I’d suggest cutting down bills if you can help it like going to http://www.couponmoms.com and start clipping coupons to lower grocery bill. Lower your electric bill by turning off lights and only doing dishes when dishwasher is full or sink is full, laundry is done when there is a full load. Slow down on your vehicle will save on gas bill and map out your errands so you dont waste gas going one end of town and back to other side and repeating. Hope this helps.
April 24th, 2011 at 3:45 amReferences :
1. List your debts.
2. Pay more than the minimum
3. Negotiate a low interest rate.
4. Plan your budget.
5. Do not acquire new debt.
6. Make on-time payments.
7. Build up an emergency fund.
8. Balance transfer.
9. Pay off high interest cards first.
10. Pay off the lowest balance first.
11. Use savings and investment.
12. Change your lifestyle.
13. Settle your debts on your own.
14. Take professional help.
15. Borrow against your insurance.
When you pay off your credit cards and the balance reaches zero, contact your creditor and try to close the accounts one-by-one.
April 24th, 2011 at 4:09 amReferences :
http://www.franklindebtrelief.com