How Do I Make It All Go Away?

Those of us burdened by credit card debt often feel “like the thief who’s not sorry he stole, but he’s terribly sorry he got caught.” Following this very sentiment expressed by Rhett Butler in the movie Gone With The Wind, we are not sorry we got all those cool things with our credit cards, but we are really sorry we will be paying for it for the next twenty-five years. It is easy to build up a mountain of credit card debt. However, it is very difficult to decrease credit card balances. If you are smart, you will not say, “I’ll think about that tomorrow.” If you want to decrease credit card balances, the best time to start is yesterday and in order to do that, you need a plan.

To decrease credit card balances, you must first stop accumulating debt. Second, arrange your credit card payments from the card with the lowest interest rate to the card with the highest. Make a budget for yourself and decide on a monthly figure to go toward satisfying that debt. Pay the minimum balance on each card and then put the rest on the credit card with the highest interest rate. When that card is paid off, move on to the next one. It is also helpful to transfer balances to one card with a lower interest rate. Remember to read the fine print. Be careful not to get trapped into a card with an initial low interest rate that skyrockets after the first few months.

For some people, it is impossible to decrease credit card balances on their own. No matter how hard they try, when left to their own devices, they sink deeper and deeper into debt. At some point, it is beneficial to seek credit card counseling. Counselors can give advice, devise a manageable and realistic budget plan and act as a go-between for you with your creditors. They can even negotiate lower interest rates, get the term of the loan extended and have late payment fees forgiven. If you are in dire straits financially, it is worth a look at credit card counseling as another way to decrease credit card debt.