If you are finding yourself overwhelmed by your credit card debt, you're in good company. Credit card debt is an increasing problem for many people these days, with balances getting larger and larger and minimum payments increasing to unmanageable levels. But you really can lower your debt load by following a few very simple strategies:
1. Never, Ever Pay a Late Fee
Late fees have been increasing by leaps and bounds lately, and grace periods having been getting shorter and shorter. Be certain you always pay nothing less than your minimum payment, and pay it on time. Should you be really unable to pay even that low amount, just call up your bank and let them know. You might be able to buy yourself some time.
If you are even a single day tardy with any of your payments to your bank, you stand a real good chance that your interest rate will be raised by as much as 50 percent. Over time, this can can add up to charges far more significant than the 30 or 40 dollar late fee.
2. Have Your Interest Rate Lowered
If your credit card interest rate is too high, call your bank and ask them to lower it. Odds are, you could find a lower rate elsewhere, and your bank knows this. So call them on it. Tell them you can get or have been offered a lower rate, and ask them to match that rate. If they refuse, all you have lost is a phone call. However, if you submit a reasonably fair request, you have reasonably good chances of getting your interest rate reduced. This is a good first step in do it yourself debt negotiation and eliminating your bills altogether.
3. Obtain a Brand New Credit Card
If your bank refuses to lower your rate, simply search for a lower rate card and transfer your balance. The truth of the matter is, many, many credit card banks out there like to accept balance transfers from other credit cards. Furthermore, even if you have made some late payments, thus causing your rates to rise, the odds are your credit rating hasn't been affected. Banks usually alert credit bureaus when payments are significantly late (by like 30-60 days). As long as your credit report remains clean, you shouldn't have trouble applying for a lower rate credit card and therefore saving bundles of cash. Once you have lowered your payments, you can begin investigating do it yourself debt settlement and do it yourself debt elimination
