While some people swear credit cards works perfectly for them, others find trouble with it. The problem with credit cards is its simplicity to use. People find it easier to just swipe their credit cards than tweak cash in their wallets. Credit cards provide security of never getting short of cash and they can buy pretty much whatever they like to their heart’s content.
Come to think of it, that’s a scary thought! One could easily misjudge their paycheck that will cause delay to payments and most credit card holders pay minimum amount due than payment everything by the end of the month.
Of course, you all know about accumulated interest right? You may end up paying interest and higher than the principal amount charged if you are not too careful.
But, what if the credit card has been maxed-out? Undoubtedly you will know by either mail or phone call from the credit card company and soon find a way to repair bad credit. They will try to contact you by any means possible whether through the office or at home. Even if you dodge the bullet hard enough, they will make it harder for you tomorrow so the best way is to confront them now than later.
If you have plans to pay them out then it won’t hurt to talk to the credit card company nicely as soon as you get the notice. Don’t worry; they won’t get too personal with you since they handle cases like yours everyday.
You will have to ask them to lower your monthly interest rate in exchange for regular monthly payments that you can meet and be sure to meet them to avoid shameful discussions in the future.
When you finally accomplished this, break your credit card in half, either literally or figuratively. This should mean: no more buying with the credit card.
As much as possible, don’t pay your credit card debts with a loan, that is just prolonging the pain and making matters worst. You need to realize that every loan has interests and if you keep on getting loans to pay your debt, you are actually borrowing principal plus interest everytime you do this.
There are different attacks to settle credit card. If you have multiple credit cards, you can either settle large interest first or large amounts first. Whatever fits you best, as long as you take steps in settling them, is fine.