Want to get out of debt, these tips will increase your chances of success significantly – take a look and see how to cut the money you owe.
- Find A Balance Transfer Card With A Rate Of 0%
Credit card rates average more than 18 percent. While you can find some that are lower, even going as low as 0.5 percent, paying interest on your debt is not a great way to get yourself out of the hole.
Instead, consider looking for a credit card that will allow you to transfer your balance and achieve a 0 percent rate. You may be able to find a card that lets you go for more than two years without paying any interest.
Do you research and compare your available options. There are a lot of cards to weed through, but this is an important part of the process, so make sure you take your time and make the best decision possible.
- Do Not Accept Increases
If you have credit card debt, and you receive notification from your company that they are raising the interest rate, get in contact with them right away. You have 60 days to tell them you will not accept the increase. The card then becomes null and void, but you will maintain your previous rate until the card is paid off.
- Become A Member Of The Credit Union
According to Money Expert, Credit Unions usually have better rates on loans than other providers. You are normally not charged a set up fee or an administration fee, which can lead to huge savings.
Of course, it is important to “comparison shop.” Always make sure you are getting the best deal possible by looking at the APR, as well as other data. There are a number of advantages to going with a credit union loan, but you still have to make sure the numbers work for you in the end.
- Stay Away From Payday Loans
Payday loans, while convenient, are going to cost you a lot of money. In addition, if a transaction is not verified to start with, they can make a number of different payment requests because of the continuous payment authority. What all that means is that you could find yourself in a difficult financial situation. Only get a payday loan if you are certain that you have no other options.
- Bring Up Your Credit Score
Prior to trying to get credit, go through Experian, Callcredit and Equifax to get a copy of your report. Look over it to make sure it is accurate; if there is a mistake, or if your credit history isn’t the best, you may not get a loan. If you do get one, the interest rate might be less than desirable. Therefore, work to bring up your credit.
Raj Kumar is a qualified business/finance writer expert in investment, debt, credit cards, Passive income, financial updates. He advises in his blog finance clap.