Pay Credit Card Debt Off

The quickest way to take back control of your finances is to pay credit card debt down or get rid of it completely. Here are the best and quickest ways for total credit card debt elimination.

If you are determined to pay credit card debt off you are making the best financial decision of your life. The reason credit card debt is so bad is because it carries such a high interest rate.

Eliminate Credit Card Spending

You must immediately eliminate credit card spending because you will never pay credit card debt off if you continue to add to the outstanding balance. The interest on that debt added with a climbing balance will make it impossible to ever pay off.

Pay More Than The Minimum Payment

Always pay more than the minimum payment on the credit card you want to eliminate first. Paying the minimum payment makes you keep paying that high credit card interest rate. That's exactly what the credit card companies want because they are making a fortune off of that interest.

The best way to pay credit card debt off is start paying off the credit card with the highest interest rate first. Pay the minimum monthly payment on the others. Once each card is paid redirect your funds to the next highest interest rate card so you can eventually get rid of credit card debt.

Snowball Debt Payments

Snowballing debt payments means to transfer credit card debt from a high interest rate card to a low interest rate card. By doing this you pay a greater amount of money towards the balance and less interest on debt.

This increase in the amount of money you pay toward your outstanding balance allows you to snowball your efforts and pay credit card debt off quicker. It's worth looking at each individual card and determine how much interest you are paying with each of them.

Renegotiate With Creditors

Contact your credit card company and ask for a lower interest rate. They may want your business enough to lower it. The interest savings to you will multiply your efforts to pay credit card debt off quicker.

One last tip is, if you choose to close your credit card accounts, do not close them until after the final bill has been paid. Some credit card companies will penalize you by raising your interest rate if you close an account that carries an outstanding balance.

If you are ever going to get rid of credit card debt it's important to set a realistic budget for yourself. Lower your spending in all areas so you can pool your available cash to pay off your balances quicker. Think of how you will feel when you pay credit card debt off and you are finally free of high credit card interest.

Copyright © 2005 Credit Repair Facts.com All Rights Reserved.

This article is supplied by http://www.credit-repair-facts.com where you will find credit information, debt elimination programs and informative articles that give you the knowledge to correct your own credit and credit report. For more credit related articles like these go to: http://www.credit-repair-facts.com/articles_1.html

Paying Off Your Credit Card Debt

With all the temping deals on credit cards, it is so easy to think I'll put that purchase onto my card and worry about it later. Some see it as an extra source of finance which they don't have to worry about. This is until the statement appears, with a minimum amount to pay and a balance that is a constant reminder of the debt.

Don’t fall into the trap of just paying off the minimum amount on your card, as this is how credit companies keep you tied to them for years. By paying off that little bit extra each month above the minimum amount can significantly reduce the time in which it will take you to pay off the balance. It may be worth while working out exactly how much you can afford to spare each month to go towards your credit card. If you can afford that extra payment over and beyond the minimum amount, it is very worth while doing this especially if you are serious about clearing your credit card debt.

It sounds simple but many of us can’t help the temptation of spending on plastic. Avoid spending any further on your card, as this will just add to your debt and take you further away from that goal of paying it off. Cut up your cards and destroy them as this will help reduce the temptation.

If you have a few cards with varying interest rates, transfer your balances to a 0% credit card if at all possible. With so many to choose from you could be saving a lot of money on your interest. Alternatively call up every company you have a credit card with and ask if they might consider reducing your interest rate. You might be pleasantly surprised as a lot of companies would prefer to keep you as a customer than loose you to another credit card company as it is often difficult to find new business.

If you have some savings, it might be worth you looking at using part of these savings to pay off part or all of your credit card. This could prove worthwhile in the long run as for example you may only be getting 3% interest on your savings, but yet paying a massive 17% interest on your credit card debt. Only do this if you can afford to, and make sure you still have some savings left in case any emergencies.

If you can afford to, to get the most out of your credit cards it is best to pay off the amount in full each month. By doing this, you will avoid any interest payments that may be due and have less debt to worry about.

Please visit Credit Card UK for more information. Article Source: http://EzineArticles.com/?expert=Vim_Gadhia