Recent Articles
In a Financial Crisis? Have You Considered Debt Settlement?
Oct 25, 2008 Debt Consolidation Leave a comment
Do you suddenly feel as though you are drowning in debt? There is relief available and that is debt settlement! This will have a slight impact on your credit rating, but in comparison to bankruptcy this is a much safer option.
The way debt settlement works, is that you are negotiating with your creditors to reduce the amount you owe them. Say you owe around $9,000 to one credit card company, they might be willing to take a payment of $6,500 in full.
On average, most creditors will be willing to settle between 25-75% of your total balance. They usually will take part of your payment, in hopes that you do not file bankruptcy, since that would leave them with nothing.
A reputable debt settlement company will work on your behalf and negotiate with your creditors. They are the middle man and will go back and forth between you and your creditors. You will have to pay them a fee, but in the end that payment is worth it when they get your overall debt negotiated down. Read More..
Credit Card Debt Consolidation - How to Get Out of Credit Card Debt in No Time
Oct 25, 2008 Debt Consolidation Leave a comment
This article will analyze three easy ways to get out of credit card debt in a short period of time, these are strategies that you can start applying immediately and that have proven to be highly effective, However, specialized advise from a credit card debt counselor is always recommendable, let see those then;
1.-Turning the highest interest rate credit card into a lower interest rate one, call your credit card provider, nothing to loose, explain that you are getting difficult to pay your bills and that you need some help, every point you get discounted in the interest rate is so beneficial for you that you should be doing it with all your debts starting today.
2.- Transfer balance from the lowest interest rate credit card to the highest one, if you cannot pay that credit card at least you will be paying less on interest.
3.- Pay the total balance of the highest interest rate credit card and stop using it, if you cannot pay the total balance, pay as much as pos Read More..
Using Low APR Credit Cards to Pay Off Debt
Oct 23, 2008 Credit Leave a comment
Many consumers may have racked up their credit cards during past months to make ends meet, or carry them over through a time of unemployment, and now the monthly payments are taking a lot of the income they have coming in. As long as you have maintained making timely payments on your accounts and not taken them all to the limit, your credit rating may be such, that other companies are offering low APR credit cards to you in the mail and you are tempted to apply.
There are several things to keep in mind with low APR credit cards. Most of the time, if you read the entire offer, you may find they have a “processing fee” of $79, or an annual fee of $59, plus whatever interest rate enticement they are offering. Many times the 0% or low APR credit card, only offers that for a set term, such as the first six months or year after you open the account, and then the rate may skyrocket up to 30%.
By using a strategy of paying off your existing, highest interest rate credit cards first, you can reduce your monthly debt, so if you take advantage of the low APR credit card, the thing to keep in mind, is that the goal would be to pay it off with the initial low rate offering. If you transfer your highest interest rate card balances to the new low APR credit card, and pay it off during the initial term, you will have succeeded in paying off some of your credit card debt, and reducing your monthly payments. Read More..
