Serious Ways To Attack Credit Card Debt Without Pain
Credit Card Debt And Retirement
A lot has been written about boomers and credit card debt. We do know that if we want to meet our goals for building a nice retirement nest egg, it will not help to have large payments to make just to service debt that was accumulated years ago! If you are struggling just to meet your minimum payments, it may seem impossible to ever reduce the balance. However, there are some serious ways to lower your balances and payments that you may not have ever considered!
Credit Card Insurance
Did you get talked into buying credit card insurance when you signed up for your last retail loan or credit card? If you carry a a balance, this product may be adding to your balance, payments, and length until payoff. Is it really doing you any good, or do you already have other ways to handle the same issues?
In my opinion, the charge for this product is almost like having an additional interest charge. If you already have other life or disability coverage, you may not need this additional product.
Balance Transfers
Did your bank raise your APR? Vote with your pocket book and find a low interest balance transfer. A lot of card companies want to attract business, and they still offer 0% balance transfers to qualified applicants. The offer usually only lasts for several months, but those few months of reduced interest can give you some time to breath!
Do You Save or Slash Debt?
Here’s a hard question when you are working with, as most of us do, a limited budget! This is a tough problem, but for most of us, we just have to strike some sort of balance. The ideal situation is to save and reduce debt of course. In my opinion, it is very important to have an emergency cash fund because it will reduce the need for more debt in the future. However, getting those balances paid down will mean you have more money to save, and it will also improve your overall credit score and financial life.
Do You Even Know What You Spend Money On?
A lot of times, people get into trouble because of impulse buying. Of sure, we all want to be able to go out and buy some stuff when we please. That is part of the fun and adventure of life. However, sometimes those trips to the corner pharmacy or convenience store can really add up. If you are having problems, it is time to print off your bank and credit card states to see where your money really went last month. Sometimes this simple exercise is enough to help you spot problems and resolve them.
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