In continuation from Friday’s post….

Consider combining your balances from all of your credit cards into a consolidation loan or putting all of your debt on one card. This way, you will be able to make larger lump sum payments. Making smaller payments to several cards will take you longer to get out of debt. It is also not as daunting having only one payment to make instead of many. If you cannot combine your debt, then make large payments to your highest interest rate credit card, and minimum payments to your lower interest rate credit cards, until your debt is paid in full.

Do not add more debt to what you currently owe. Put away or cut up your credit cards. Think how every $50 you charge is another monthly payment that you must pay back.

Always pay more than the minimum payments. How sad to look back 20 years from now and realize that you are still paying for Aunt Dolly’s fuzzy robe and slippers. Give till it hurts. It will make you proud to see that balance drifting away!

Try to reduce your interest rate. Many banking institutions are willing to negotiate your rate once they know that you might be having trouble. They would rather keep you as a customer, with you paying some interest, rather than Charging Off your debt and then having nothing in return. Of course they are always hopeful that you might want to charge some more too.

Return unused purchases. Don’t let them lay around the house. If you don’t need them, take them back. You will appreciate the credit issued on your credit card more than the clutter in your closet.

Keep track of how you are doing. Log your payments. One of the biggest motivators is to see that debt going away. In time, and with careful planning, you will be free of all of your credit card worries.