How to Dig Yourself Out of Credit Card Debt

If you're considering debt relief and really want to have a panic attack, head over to the FICO and grab your credit score. Now take a few deep breaths before planning your next move. You need to make a move in order to avoid falling further into debt. While paying off high credit card bills, there are few strategies that you can consider. Let's spend a few moments looking into the different strategies, and find out if debt consolidation is the right path.

Pay Day Loans - Say No

The first misstep for most debt sufferers is to patch bad credit ratings with payday loans.

 Speaking out of experience, this quick fix is at first very appealing, Why is it appealing?

Despite these two points, pay day loans are one of the worst strategies to help you fix your loan problems. Why? Pay day loans have outrageously high interest. Do not seek a pay day loan unless you are 100% sure you can repay it before the interest kicks in. The last thing you want is to increase your current debt.

Credit Counseling

So where to now? The stress of surmounting credit card debts is still on the table. If you've ever considered credit counseling, you may know that they will reduce your debt a considerable amount and then waive past dues. There is a serious repercussion on the future credit side of things. If you seek credit counseling and even if you successfully undergo payment plans, and rid yourself of debt, this service will affect future credit reports.

Debt Settlement

Debt settlement is one of the most popular choices that people with credit card debt turn to. With debt settlement, you work with an agency that negotiates with your creditors to reduce the balance of your credit cards. Creditors are often willing to reduce portions of the debt because it will assure that they will receive some of the due amount. They realize that if the debt is too high, they may never receive any of the money they are owed.

Here are a few tips:Once you attempt to settle your debts, you will quickly see that it can reduce your overall debt by a large amount. This will make it easier to pay your credit card debt in this lifetime. This is a breath of fresh air to you and your pocket book. Now that you're breathing easy again, take an active role in planning your financial future. By strategically saving money and knowing how to save you will avoid the debt panic for good.

For more details on debt settlement, read up with the Consumer Finance Protection Board.
By Frank McCourt
Frank McCourt spent his early twenties digging himself out of student loan debt. He currently writes about on behalf of

Copyrighted 2016. Content published with author's permission.

Posted in ...