Techniques to Settle Credit Card Debt
So you are over your head in credit card debt, and you want to know how to deal with it. You want to pay back the money, but its such a daunting amount you are not even sure where to start. You may have heard advertisement too about a legal credit repair company? Is this an option for you?
Dealing With Credit Card Debt
If you want to really handle your debt you have to know the state of your finances. If you do not feel comfortable making budget decisions or have never had much of a head for numbers, you may want to talk to a financial planner. There are there to help you, and there is no shame in seeking assistance.
The first thing you need to do is figure out the time frame it will take you to pay off all the money you owe. If that number is over 5 or 10 years, you may be looking at filing for bankruptcy. This is not necessarily a terrible option, and will let you begin anew, although with much worse credit.
How To Settle Credit Card Debt
Set aside an additional $200 at the first of every month. Find a way. Stop eating out, or buy less stuff, or start buying generic foods, but find a way. Pay the minimum due on all your cards. After you do this, apply the $200 to the card with the lowest balance.
Once that is paid off, which should be fairly quickly, use the $200 plus what you were paying before, and put it on the next card with the smallest amount. Keep repeating this process till all your cards are paid off.
This technique is quicker than spending money all across the board on your cards and lets you see faster progress.
If you are so in debt that it would take literally five or more years to pay off everything bankruptcy may be a legitimate option. It will make things securing loans for a while harder, but it will be better than your current situation.