Six Tips To Manage Your Credit Card Debt

Using credit cards has become an every day habit for the majority of people and credit card debt is rising. Credit cards have become much more convenient than cash but it has become all too easy to whip out the credit card and buy goods on impulse that the purchaser can not afford.

We probably all know someone who has let their credit card rule them and ended on the slippery slope to credit card debt and further away from a debt free life. However, it does not have to be like that. Follow these simple rules to help you clear your credit card debt.

Pay more than the monthly minimum payment and pay it before it is due or you can be certain that penalties will added to your account.
Consider switching your credit card debt to a company that offers lower interest rates. Just make sure you fully understand when the low rate ends and finish paying off any balance (or switch it again!) or you could be faced with more penalties!

If you are like many others and have little discipline, then stop using your credit cards completely and consider the following debt reduction strategy that I have employed successfully in the past. Firstly, put any surplus cash that you can manage towards paying your most expensive credit card debt. When this has been paid off, focus on doing the same thing with your next most expensive card debt. And repeat this until all your credit card debt has been paid. You may be pleasantly surprised as this invariably slices months off the amount of time required to be pay your balances off.

Of course, you have to at least continue to meet your minimum payments on your credit cards and you have to monitor varying interest rates as well. But if you have reached the stage when your balances are not likely to be paid, think about either debt consolidation or a debt management program. If you decide on a debt management program just pick up the telephone and talk with your credit card company. They deal with this type of query all the time and you never know they may try to help you out. They know that being paid something towards your balance is better than you defaulting or ignoring them entirely.

Be cheeky and inform them that another credit card company has offered you a much lower interest rate and will settle your credit card debt. Ask them if they could either match or improve the rate and choose whichever one is lowest. You could also advise your credit card company that you struggling to make ends meet and seek their help to pay your credit card debt. Many credit card companies seek to rehabilitate and not terminate the customer relationship. They will probably ask you how much you can afford. Simply tell them and hopefully they will agree. So if your credit card debt is haunting you, do not give up