Credit Card Debt Management

Credit card debt management is a serious issue. It will take many years to go away and even if you get rid of the debt through a bankruptcy filing, it will stay on your credit reports. So, be cautious on how you handle your credit cards. Here are a few pointers to improve your credit card debt management strategies.

Credit card debt management

• Two fold system
  
  The first step to debt management of any sort is two-fold. Stop raking up more debt, and start repaying your current debt. You do not want to add to the already large pile of loans. Start making significant dents to your debt by paying it off as fast as possible, as much as possible.
• Always pay cash
  
  If you must shop, pay with cash. Use an ATM card or debit card if you do not have cash in hand. Soon you will be able to differentiate what you need from what you want. Stop buying the things you ‘want’ for a few months.
• Freeze credit
  
  Put a freeze on your credit. In this time, loan companies cannot offer you a line of advances, and new cards will not be issued unless they can get your reports, and with a freeze, they cannot see your reports. It also does not affect your credit standing in any way.
• Get low-interest cardsTransfer your remaining balances on credit cards to a company that offers 0% balance transfers. They are easy to repay, and the money will go directly to your principle. Be wary of transfer fees as some companies charge up to 4%.

If you have multiple credit cards and are confused about how to start, start off with the smallest debts first. That way you can reduce the number of debts you have and you will feel like you are making progress. Debt is tricky business. If you are having trouble getting out of debt, contact our Sacramento bankruptcy lawyer office for help. Our knowledge and experience can assist in you making an educated decision about debt relief.