Approaching credit card debt with a plan
Have you accumulated a ton of credit card debt over the years and simply don't want to have it breathing down your neck any longer? Do you want the freedom that comes with being debt-free? Do you wish that you could get rid of your debt quickly and easily without the hassle that comes with calls from collections agencies and your creditors? If so, you're not alone and you're also not without hope.
That's because every year millions of Americans struggle with the same issue and want to get rid of debt. The good thing is that you could be debt-free in just 2 years-if you have a plan! The first thing you need to do is sit down and create a sustainable budget for yourself or your family, one that allows you to both pay off your debt and maintain a normal and happy lifestyle.
How much do you need to spend every month on rent, food, transportation and other everyday things? How much can you save by making small changes like eating out less, riding the bus every once in awhile or packing a bagged lunch instead of running out for fast food? There's a good chance that you can find ways to start saving extra money every month to throw at your accumulating debt.
You should also stop using any credit cards or other forms of credit you currently have. By doing this, you force yourself to start dealing with the problem right away.
Consolidating debt and paying it off quickly
Once you've made the necessary lifestyle changes to accommodate your newfound mission to eliminate debt, start thinking about the different options that could help you to pay off your debt in 2 years or less. One strong option is credit card consolidation, a system that allows you to take all the debt you've accumulated on two or more forms of credit, roll it into one balance and start paying it off right away with a lower interest rate and lower monthly minimum payments. By doing this, you eliminate the need to send out multiple payments every month and can focus on paying off your debt as a whole at a price that's more reasonable for your situation.
In addition to this, you can work directly with a credit counselor and explain that you're interested in paying off all your debt in less than 2 years. He or she can then help you put together a plan to accomplish your goal. In most instances, this simply means paying off your debt every month with more than just your minimum payment. Instead, you'll be finding ways to pay above and beyond what you normally would pay in order to see your debt start to dwindle down to nothing.
With the right plan, you can start seeing results right away.
Settling your debt with creditors
Do you have a significant amount of money stashed away, maybe saved up over the years that you could use to pay off your debt? If you did, you probably would have done so already, right? But, did you know that you could pay off your debt by settling with your creditors for way less than you currently owe-provided you pay a lump sum right away to extinguish the debt?
For instance, if you owe a creditor $5000, you might be able to settle your debt for just $2500 if you're willing to make that payment right away. This way, you'll be eliminating your debt instantly for much less than you would otherwise have to pay. This is a good option for people who have some money saved away but not enough to necessarily eliminate all their debt right away.
If you want to pay off your debt in less than 2 years, investigate what option will work best for you and get started right away. Your commitment to becoming debt-free will pay off quickly!
By Dometri Quick
Dometri Quick is the development director at DebtConsolidationSupport.com. You can find more articles for helping you eliminate credit card debt at http://www.debtconsolidationsupport.com
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