Credit card debt can be one of the most stressful and damaging things that a person can have in their life
. The longer you have it the more it will steal from you. With today's interest rates on credit cards you could be throwing away thousands of dollars if you carry any kind of balance for any amount of time. These accounts were meant to be used for emergencies and should be paid in full each month. Anything other than that will keep you financially insecure. These strategies can get you back in the black.
1. Stop charging. Many times this step is most difficult for people that are used to pulling the plastic out anytime they see something that they want. If you have to cut the cards up to keep from using them...do it. When you are debt free, you will be glad you did.
2. Eliminate all unnecessary spending. Keep a journal or a spreadsheet of every penny that you spend. Many people are surprised at what they see. They are surprised to find out that they are spending $400 a month on eating out or $150 a month on coffee. Keep tracking of your expenses will help you identify areas where expenses can be eliminated to allow extra money for debt repayment.
3. Sell items of excess. Many people that have credit card debt have things that are not being used. Return items, have a garage sale or sell these items through an auction. Reducing excess will help get you in the proper frame of mind for paying off debt and staying debt free as well as giving you extra money for paying off your debt.
4. Ask for an interest rate reduction. Call your lenders and ask to have your interest rates or fees reduced. If you have been a good customer there is no reason why you should not be able to have your interest rates reduced. You do also have the option to transfer your balance to a credit card with a lower interest rate. But many people have problems not increasing their debt when they have available credit.
These strategies will help you reduce your debt. The more aggressive you are about finding ways to come up with extra money, the sooner you will be debt free and it will also cost you less. If you have debt, there is no time like today to figure out your best plan for paying it off.