- 1). Create a budget that prevents you from using credit cards. Understand how much you really are spending on items you don't need. Each day for one month jot down how much you spend and on what. Keep your receipts to help track your spending habits. After one month, review your total monthly spending and make necessary changes by spending less money on nonessential items. Household bills, insurance, and living necessities should be a first priority.
- 2). Reduce credit card debt by making extra payments to your higher rate cards and quit using them. If you have a different card with a lower APR, try to transfer your high-interest balances to those cards.
- 3). Pay your credit cards on time to reduce credit card debt. Set up automatic payments to avoid late charges and higher interest.
- 4). Contact your credit card company and ask them to lower your rates. Speak with a supervisor and be persistent. Call every week until they agree to lower your rate. Let them know if you are struggling with bills and even considering bankruptcy (if your payments are that out of control). The company may work with you in order to avoid getting paid at all.
- 5). Speak with a nonprofit credit counseling service. It can offer other ways, such as credit consolidation, in order to reduce credit card debt, especially if you can't make your minimum payments.
- Advertisement -
- Advertisement -