How Free Credit Card Debt Relief Can Help You Find Financial Freedom

When we are looking for a solution to a problem, we all tend to look for the free and inexpensive methods. There is nothing wrong with this and if you can do for free you probably gain more in the long run. Free credit card debt relief is no different. You can get out of debt on your own, but it will take work. And you will most likely have to make some changes in your lifestyle.

Not everyone is in a position to get out of debt without outside help, but as long as you can make minimum payments and all your bills are current, you can do this with a plan. Make a contract with yourself to develop a plan and stick to it. The first thing you will need to do is stop charging. You will never get out of debt if you keep taking on more debt.

  • Make a list of what you owe to whom. This includes how much your minimum payment is and what the balance is on each account. The first thing you want to do is call all your credit card companies and ask them to reduce your interest rate. Let them know that you do have other offers available that will give you a lower rate. Receiving a lower interest rate will reduce the amount of money you will be paying back to your lender.
  • You can transfer your balances to a new credit card with a low introductory rate, but unless you are disciplined, this could lead to trouble. This will leave you with credit cards that have available lines of credit, which can be tempting. Late payments will increase your interest rate immediately and may be charged back to the time the account was opened. Most credit card companies have ulterior motives for making these offers, but you can make them work to your advantage.
  • Now it is time to starting paying off the balances. Take the account with the smallest balance and pay as much as you can towards that balance, while paying minimum payments on the other accounts. Once the first account is paid, apply the payment amount as well as the minimum payment to the next lowest account. Follow in this pattern until all your accounts are paid in full.This all sounds very simple and it is if you stick to the plan, but it will take time.

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