5 Secret Tips to Get Debt Consolidation Today
Many people are trying to get out of credit debt. Believe it or not, but the average American is carrying almost $2,500 in credit debt each month. Such financial consequences could be critical, and long lasting. Lets calculate:
If the consumer is paying only the minimum payment of $50 a month on a $2,500 credit card bill, and the interest is 16%, he is paying off only $10 of principal. At such interest rate another $40 is being added on every month. So if a consumer would pay $50 every month on his $2,500 credit card bill for w hole year, he would still owe $2,380. Can you believe that? Now try to imagine that the credit bill is $20,000, $30,000 or even more...
Do you have debts? Want to pay it off? Or do you want to put your debt on a diet? We have compiled a list of five super strategies that would break your dangerous spending habits today.
1. Step away from the counter. Do you want to buy something right now? Think of it. How much does it cost? If you want to buy something that is worth more than $100 put it on hold for 24 hours. After those 24 hours have passed ask yourself again whether you still want it. If the answer is no then you have to do the simple thing " dont buy it. If you impulsively want to buy yourself some clothes or a snack, put it on hold for a few minutes and thing again " do you really need it or you just liked it and want it.
2. Set goals for your debt. You have to decide how long will it take for you to get out of your debts. Now think how much could you pay back each month. Also set financial goals that involves "positive" incentives, too, such as savings and vacations. Try not to go on vacation or just make your self a cheap vacation. The thirst thing you have to do is to get out of debts, not have fun.
3. Cancel your credit cards. How many credit cards do you need? And how many do you have? Usually only one credit card is needed for a person. So why do you need any more? If you find a reason to have few cards so keep them, but if you dont have a serious reason just cancel them.
4. Lower your limits. You dont have to accept the maximum credit limit that your issuer is willing to provide. Be wise and choose such credit you could pay back.
5. Take a consolidation loan. If you have huge debts find a good consolidation loan provider and take a loan. This loan will provide you smaller interest rate over a longer period of time.
If the consumer is paying only the minimum payment of $50 a month on a $2,500 credit card bill, and the interest is 16%, he is paying off only $10 of principal. At such interest rate another $40 is being added on every month. So if a consumer would pay $50 every month on his $2,500 credit card bill for w hole year, he would still owe $2,380. Can you believe that? Now try to imagine that the credit bill is $20,000, $30,000 or even more...
Do you have debts? Want to pay it off? Or do you want to put your debt on a diet? We have compiled a list of five super strategies that would break your dangerous spending habits today.
1. Step away from the counter. Do you want to buy something right now? Think of it. How much does it cost? If you want to buy something that is worth more than $100 put it on hold for 24 hours. After those 24 hours have passed ask yourself again whether you still want it. If the answer is no then you have to do the simple thing " dont buy it. If you impulsively want to buy yourself some clothes or a snack, put it on hold for a few minutes and thing again " do you really need it or you just liked it and want it.
2. Set goals for your debt. You have to decide how long will it take for you to get out of your debts. Now think how much could you pay back each month. Also set financial goals that involves "positive" incentives, too, such as savings and vacations. Try not to go on vacation or just make your self a cheap vacation. The thirst thing you have to do is to get out of debts, not have fun.
3. Cancel your credit cards. How many credit cards do you need? And how many do you have? Usually only one credit card is needed for a person. So why do you need any more? If you find a reason to have few cards so keep them, but if you dont have a serious reason just cancel them.
4. Lower your limits. You dont have to accept the maximum credit limit that your issuer is willing to provide. Be wise and choose such credit you could pay back.
5. Take a consolidation loan. If you have huge debts find a good consolidation loan provider and take a loan. This loan will provide you smaller interest rate over a longer period of time.
About the Author:
Many business today find the options of using business credit cards where you can find no fee credit card deals and low rate credit cards options.