November 13, 2014
Credit card debt is a very bad idea. What can a person do when they have it? What should they not do?
Credit card debt is a very bad idea. What can a person do when they have it? What should they not do?
If someone has credit card debt, they need to stop using their credit card(s) immediately. To get ride of credit card debt, they need to pay it back obviously. They should set aside money to pay back their debt before they buy anything else they don’t absolutely need. People should only use a credit card if they are responsible enough to use it appropriately.
You should try to pay it off as quickly as you can. If you have credit card debt a good first step is to get rid of the card so you are no longer using it. Just use cash for what is needed. When paying of your credit cards there are 2 popular ways to pay it off, the snowball effect and avalanche. Pay your minimum payments on your debts besides your smallest dollar value one and pay as much of the smallest one as you can. In the avalanche you pay the one with the highest interest rate first. Its important to get out of debt as soon as you can.
Well said, gentlemen. Let’s review.
(1) Stop using the card. Because you have not paid it off in full, you have lost your grace period. This means that as soon as you use the card, you are charged interest immediately after it is posted to your account. Not good!
(2) Figure out why you have it? Accept responsibility and then move forward with a plan to pay it off.
(3) Listen to Garrett. Select the debt avalanche or the debt snowball and then get rid of it as fast as you possibly can. Sacrifice today for a better tomorrow. Now go!