Help Getting Out Of Credit Card Debt

Any tips, suggestions, ideas to help pay off credit card debt in which so many Americans get themselves in.

I have a debt of about just $1300 which was about $2000 in the summer, I'm currently working and paying more than the minimum. Is it better just to pay the minimum, set the aside money each month then pay off the whole thing?

It is NOT good to carry credit card debt. Well, I guess it's good for the bank which charges you interest, but it doesn't do you any good. It's pretty basic -- you pay as much as you can each month until the debt is gone. There's no point to saving money to be paid on your credit card later because that's only going to cost you more in interest.

It's smart to pay more than the minimum and your goal should be to pay it all as quickly as possible. I think it's great that you want to get your debt paid off - it's a good attitude to have.

In my experience, people who get comfortable having credit card debt will increase the amount they owe as time goes on. Instead of thinking what something costs in total, they start to think "Oh, that will only be $3 a month." Instead of being aware of how much they owe in total, they only worry about making the minimum payment. And unfortunately, one day they realize they owe half a year's wages on credit cards and it will take them many years to pay them off if they never charge another thing.

Good luck with your plan to become debt-free!

2007-10-23 00:05:59 by Cali C.

Meet a man with firsthand knowledge of how to get out of credit card debt.

I have about 7 grand in credit card debt :( What are the best steps to take to get out of it? Are there reputable non profit companies that can help me? Serious answers only please.

Your best bet is to cut back your spending in other areas, bite the bullet, and pay it off. Look at what you spend in non-necessities (clothes, entertainment, eating out, and even higher end groceries), and think about if you'll feel better spending that money on those things, or on paying down your debt. Or see if you can pick up a little extra work to make a little more money to pay this down. (But in my experience, it is easier to save the money you do make than to make more.)

The thing about credit card debt is that the interest rate is so high, you can save yourself a lot of money by paying it off a little bit faster. For example, if your payments are around $350 right now, it will take you about 2 years to pay this off. But if you could bump that up by about $80 per month, you could pay this debt off in just 18 months, and save yourself over $270 in interest payments.

You could also try negotiating with the credit card company for a better interest rate, but I suspect that is harder than it once was.

You might want to check out www.vilkri.com (which is currently in beta testing and thus free!) to take a look at your financial situation as a whole. That site will sort of "run the numbers" for you so you can get some idea of what might be possible in terms of budgeting additional payments and getting this credit card debt out of your hair.

Good luck!

2008-10-13 08:53:47 by Gigs

Price: $15.00

Right now, I have two main credit cards. One has a 7500 credit limit and the other has a 6000 credit limit. The balances on these are 7800 and 6700 respectfully. They are way over the limit and I want to get them down quickly. Should I put all my efforts into one of them or split it up between the both of them? Also, both interest rates are about the same.

I know this sounds crazy but see if you can open another card with the zero interest transfer
As long as these accounts are over the limit, you are going to have hell to pay since in addition to the (what I am sure are) VERY HIGH INTEREST fees you are paying over the limit fees which are about 30 bucks or more each month.
so lets say your payment is 120.00 a month the amount going to the balance is only going to be about 40 bucks. At that rate it will take you about a a year to get out of the over the limit fees if you just pay the minimum.

So please please please cut up these cards.
DO not use them again
next see if there is anything that you bought that you can return for credit back to the card. I dont care how much it is every little bit helps.
you can also see about getting a second job and using ALL of that money to pay the bills down
you can also
see if you have stuff laying around the house that you can pawn or sell on ebay.
are you expecting a tax refund|?
why not file at the end of this month and put the FULL amount to one of your cards.....
Do you eat lunch out every day?
why not brown bag it
cut out that soda from the vending machine
over a months time you can litterally save $150 bucks on lunches (fast food vs brown bag for a month)
There are other ways to cut spending.
Do you need 150 cable channnels
why not cut back to the basic channels for awhile (get rid of hbo etc)
got a crazy cell phone plan that costs you $100 per month, why not cut it down to a more reasonable fee
No new clothing this month at all
wash full loads of clothing only
No more heated dry on your dishwasher (air dry)
have a girlfriend
tell her movies are out for the next two months and you can date at blockbuster
you get the idea

2008-01-02 06:32:29 by Brian

Price: $19.99

I have over $9,000. on one credit card. It wasnt so bad until they skyrocketed my interest rate to 23% then, it became impossible to pay. I havn't paid it in over 4 months, and the calls wont stop. What can I do to get this problem off my back? Any websites that are recommended?

Ask lenders for agreement to delete this items from your credit report when paying them. I recommend to get such agreement thru credit repair agency, for example this one - creditreport.imess.net

2009-11-17 12:51:16 by EV

I have a $2500 debt with Capital One. I got in financial trouble in college and I was not able to pay it off in time. My debt has bounced around to several different law firms and the new one is trying to make me pay 400 a month until I pay it off. If I don't they said I would be served. Is this threat real and how often do they come after people this hard. I basically have nothing they could put a lien on as I am still in huge financial trouble.

they will get a judgement against you and you'll have wages garnished

2006-12-18 21:33:36 by brewers06