Different Ways to Attack Credit Card Debt

Posted by on Dec 28, 2013 in Credit Card Debt Tips | 0 comments

There are a number of methods for getting out of debt, but a large amount of these methods involve taking on more debt to finance the original debt. But there is another solution called debt consolidation which can help you pay off your existing debt without adding to the burden. It is a proven method that can truly provide hope when you’re drowning in unsecured debt. When credit cards become overextended, your payments can take up a substantial portion of your household budget. Living with a substantial amount of debt can be hard, but there are a number of ways (in addition to debt consolidation) that can help you pay down your unsecured debt.

Pay Off More Than Your Minimum Monthly Payments

The problem with credit card debt, according to companies like CreditGuard of America, is that it’s easy to fall into but harder to climb out of. Higher interest rates and past due payments are just a few of the hoops you need to climb through when you’re dealing with debt. More often than not, your minimum monthly payment only covers the interest charges, and barely covers any of the initial debt. Therefore, try to pay more than the minimum amount each month. By paying more than the bare minimum, you’ll be able to lower your debt faster, and you will be successful in covering both your interest charges and the initial debt.

Learn the Difference Between Essential and Non-Essential Items

One of the main reasons people fall into debt is because they use their credit cards on impulse purchases. Make the switch from plastic to cash and start taking note of both your necessary and unnecessary purchases. By giving your credit cards a break, you’ll learn new spending habits and in turn you’ll start to curtail your impulse purchases.

Start Saving Now

Though some credit purchases are avoidable, others are not. Unexpected emergencies can happen at any time, and it’s important that you have money on hand to pay for it. Keeping a nest egg in case of emergencies is a great way to give yourself peace of mind. You can start saving small, and then add more money over time.

Credit Counseling

If none of these options sound feasible, look into debt consolidation services to help tackle your debt. Low credit scores from having a large amount of unsecured debt can make borrowing money a lot more expensive. If you’ve followed the above advice and are still having trouble with debt, then a debt consolidation plan may provide you with welcome peace of mind. A reputable debt consolidation program can help you eliminate debt quickly by rolling all your debts into one easy monthly payment at a reduced rate. And with a strong credit counseling service by your side, you’ll learn proper money-saving techniques from experience credit counselors.

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Tips for Making a Debt Management Plan

Posted by on Nov 29, 2013 in debt consolidation | 0 comments

Debt Chain

The best way to combat debt is to live within your means and avoid non-budgetary expenditures. However, sometimes emergencies happen, like medical issues or car troubles, and in those cases sometimes the only option is to go into debt.

By itself, debt isn’t bad. But without an effective debt management plan, it can get out of hand. For many people, the default management plan is to pay the minimum payment each month. The downside to this plan is that it can take decades to pay off high-interest loans. You can choose to pay more money each month toward your debts, but if you don’t have the money in your budget, this can be unrealistic.

Debt Consolidation

A better debt management plan is to consolidate your debts. On its face, debt consolidation consists of contracting with an organization to make a single payment and have them pay each of your debts each month. This is useful in that you don’t have to worry about forgetting a payment if you have multiple credit cards. Additionally, the regularity of payments reflects well on your credit score.

More important than the consolidation of your debts is the reduced interest rates that a debt management plan from a company like Credit Guard affords you. Have you ever thought that your credit cards’ interest rates were too high? If you make a small monthly payment to a consolidation organization, it will lend its clout with the lending agency to you. Through negotiations with lenders, it will win you lower interest rates, helping you pay off your credit cards sooner.

No matter what your financial situation, if you have debts, consolidation is a smart option to pursue. While money savings differ from person to person, some have saved thousands of dollars over the life of their loans. They pay off their debts decades faster than they would have if they’d just made minimum payments each year.

Consult with a Credit Counselor

While debt consolidation is an important step in creating a debt management plan, credit counseling is another important component that can give insight into how to structure your budget and make purchasing decisions. Many debt consolidation organizations also offer credit counseling services, which can be a strong tool for better managing your debt (and credit) well into the future.

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When You Need Debt Help

Posted by on Nov 24, 2013 in debt consolidation | 0 comments

Debt Help

When you have debt problems, it can be difficult to figure out where to turn for help. A strange thing about debt is that it can make a person feel isolated. It may be uncomfortable to talk with friends and family about the specifics of money problems, but without anyone in your corner, the problem may not go away as quickly as you’d like.

Credit management is the first step toward getting the debt help you need. By finding a credit management professional or organization you like, you can put yourself on the road back to financial integrity. There is no debt so large that a plan can’t be implemented to reduce it. While it won’t be immediate and may take a little work, the benefit you get from just a little debt help is enormous.

Debt Consolidation

Many Americans choose debt consolidation to get help with debt. It is a safe way to get significant reductions in the amount of money you have to pay over the life of your loan. A loan has two parts: principal and interest. The principal is the amount you borrowed, while the interest is how much your lender charges for you to borrow the money.

Interest is where you lose money. With high interest rates, you could end up paying hundreds of dollars for a purchase you made years ago. This is why the first step in debt consolidation is to get your interest rates down. Consolidation companies speak directly with lenders on your behalf to lower your rates and waive fees. When you sign up and are approved for the program, it effectively lowers your risk in the banks’ eyes and shows that you’re serious about paying off your loans and getting debt help.

The next step is consolidating all your loans into one payment. You pay your debt consolidation company (such as Credit Guard) each month, and the company pays all of your loan payments. This way you don’t have to forget when to pay which credit card. It will all be automated, which will ensure that you never miss a payment even accidentally.

Getting debt relief can be a smart option if you want to lower your interest rates and save money each month. You can sign up for a debt consolidation and credit management program online, offline or over the phone.

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Non-Profit Debt Consolidation and the Community

Posted by on Oct 29, 2013 in debt consolidation | 0 comments

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For many people, personal finances can be a sensitive subject, especially when they are struggling with burdens of debt. Naturally, those who seek out help with debt problems want to make sure that they are getting it from a reputable company that really cares about their situation. This is one of the many reasons why non-profit debt consolidation services are among the most popular options for people seeking debt relief.

The Community Touch

Non-profit organizations are generally based in neighborhoods or communities in need of financial support. In many cases, organizations are designed to provide finance education, practical solutions and inspiration to help individuals live their lives as fully as possible and, in so doing, improve the community. A deep investment in the community can make the non-profit service provider more effective at offering debt consolidation solutions for people with serious needs.

Credit counseling is an excellent example of this. Counselors are people knowledgeable about the ins and outs of personal finance who offer a seasoned understanding of how to keep a budget, how to apply for a credit card or loan, where to shop and other helpful tips and tricks for staying financially strong. These money management and credit management tips can be invaluable when it comes to educating people on healthy personal finance.

Debt Consolidation

Non-profit groups can also advise community members on the benefits of debt consolidation as a low-risk, high-reward method for paying off debt. If you’ve decided that you want to turn your finances around, non-profit debt consolidation might be the best method for you. A counselor will work with you to get your financial information and make sure that you can pay off your debts. The counselor will be your advocate with creditors, securing you lower interest rates that translate into reduced time spent paying off loans.

You may be able to pay off your loans ten or even twenty years sooner with consolidation, depending on your interest rate savings. This can translate into thousands of dollars saved, depending on your level of debt. Best of all, you can improve your credit score through regular monthly payments. Non-profit groups make great allies when it comes to getting out of debt, so take advantage today.

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