People try to credit card debt as a disease. They worry that until things get out of hand and greatly threaten their lives. How eliminate credit card debt as soon as possible? If this question bothers you, read on. This article presents a simple 3 step proactive approach to get rid of credit debt card.
Step 1: List and organize
A list of all your credit cards on a table with your data. The details to be recorded are the outstanding balance, interest rates, minimum payments, and payment dates. Arrange them in order of decreasing interest rates. Now you have a list of credit card that charges more on their balances at the top. Skip to the next step.
Step 2. Establish a payment schedule
Add up all the minimum payments on credit cards. Of your monthly budget to allocate a money that is about twice the total that comes after adding the minimum payment. Now, pay the minimum payment on all credit cards except the card with the highest interest rate. For this credit card to pay the remaining amount of funds allocated for payment by credit card. If the date of repayment bothers vary automate the payment process using your bank account.
Step 3: Remove all the debt one by one
So the end result will be higher interest rate debt first, now continue with the card from the second highest rate and so on. Each month you will require less amounts for the elimination of credit card debt as debt is reduced.
To avoid the accumulation of credit card debt in the future, make sure of falling into excess. Keep track of high credit card interest rate, and transfer your balance to a lower interest rate or intro 0% APR credit cards. Do not miss repayments and invite sanctions. Try to pay cash for most purchases and stay within your budget.
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