Many people get into trouble with credit cards. Having a couple of credit cards that you manage properly will help build your credit, but many people do not have the discipline to manage credit cards properly and end up with significant debt and a poor credit score.
It is important to resist the temptation to open credit cards just because an offer comes in the mail. Many credit cards have interest rates and fees that increase significantly if one payment is missed or is late. Credit card terms and conditions are often difficult to understand so consumers don't realize what they are getting into before incurring the debt.
Hector Milla Editor of the 'Credit Card Debt Free' website -- http://www.CreditCardDebtFree.org -- pointed out;
Debt consolidation/debt settlement is a solution to unmanageable credit card debt for many people.
“…Debt consolidation/debt settlement is a good idea if you have several high interest credit cards that you have trouble paying on time or you are only able to make the minimum payment. Having one smaller monthly payment will help you manage your debts and pay them off faster. As part of the debt consolidation program the company you use may be able to get the credit card companies to reduce the interest remove late fees and even reduce the principle…”
Remember, if you only pay the minimum amount on your credit cards each month it can take many years to pay them off and most of the payments you make will go to interest.
Paying more than the minimum required each month will help you pay off your credit cards faster and to boost your credit score. This also shows lenders that you are able to manage your finances properly by making your payments timely.
“…Do not be afraid to use debt consolidation/debt settlement programs if you are in debt over your head. These programs can help you get back on track in a relatively short time. Most credit card companies are ready to offer a deal to these companies on your behalf to help you solve your credit card debt problems…” added H. Milla.
Further information about trusted and reputable companies for credit card debt settlement by visiting; http://www.CreditCardDebtFree.org
Hector Milla runs his corporate website at http://www.OpsRegs.com where you can see all his articles and press releases.
How do I consolidate my credit card debt?
My wonderful , but obviously money happy boyfriend has accumulated around $13k in credit card debt. He has 4-5 credit cards, one with a balance of $7k. He does not own a house. We tried the bank where he has his truck loan through, but he cannot get a loan because he has no collateral. What can he do now? We want to start moving in the direction of marriage and a family, but not with this looming over us. What is the best way to resolve this issue?
Answer
Best thing to do is to ask your existing card holders to consolidate the others. I did this once with Discover and they swallowed all the other credit balances and lowered the rate. You can then concentrate on paying aggressively on that one card and get the balance paid off more quickly.
This technique works only if you are lowering your rate AND continuing to make the same total payment. That way you pay down the principal more quickly.
answer? Please help others and answer below.
Posted in 
Tags: 