THE BASICS OF
Paying Off Credit Card Debt Credit card debt has snowballed in the U.S. in recent decades. The average household now carries over $10,000 in credit card debt, among other debts, and many people struggle to make even the minimum payments due each month to service the debt.
Monthly Payments Pay more than the monthly minimum payments. A monthly minimum of two percent paid to the card issuer may keep you in debt for years. It is imperative to pay more than the minimum two percent to dent the balance due and lower the interest paid.
Cutting Costs To pay down debt faster, you have to either cut costs, increase income or do a combination of both. While cost-cutting may sound frightening to some, it can often be done with very little
Additional Income
pain, and you may not even notice things missing you have decided to forego.
Suppose shaving costs is not something you are willing or able to do. In that case, you also have the option of earning extra income.
Pesonalized Plans
What matters most is finding a payment plan that works for you. Sometimes a combination of all three options is what is best, while other times a modified version will work.
Planning Ahead Once your debts are erased, these funds can be saved and invested in securing your financial future. A little planning can go a long way and may reduce debt and build wealth and provide peace of mind.
MATTHEW LITTLEMORE | MATTHEWLITTLEMORE.NET