Credit Card Debt: How to Get Rid of it.

Written by Greg Mee


This method is simple, but requires some discipline.

First, you have to stop any new spending on your cards.

Second - you'll need to examine all of your spending. You'll need to know how much extra money you'll be able to put towards paying off your cards.

Credit card companies generally determinerepparttar minimum payment to be 2 - 2.5% ofrepparttar 150634 outstanding balance. So if you owe $1,000, for example, your minimum payment will be 20 - $25 per month.

Some part of that $25 goes torepparttar 150635 interest onrepparttar 150636 balance, some to pay offrepparttar 150637 actual balance. How much goes where depends onrepparttar 150638 interest rate. Your credit card statement will give yourepparttar 150639 exact numbers.

Let's say that $20 ofrepparttar 150640 $25 goes torepparttar 150641 actual balance. To pay off $1,000 at $20 per month will take 50 months. Just over four years. You'll also have paid $250 in interest alone.

Here's how you pay them off:

Look atrepparttar 150642 interest rates on all your credit cards. Takerepparttar 150643 one withrepparttar 150644 highest rate. That'srepparttar 150645 one you're going to work on first and we'll call it card #1.

After examining your spending you may have found some money to put towards your payments. All of this extra money to pay off your card debt goes to this one card. The idea is to pay as much extra to card #1 as you can. Until it's paid off.

Payrepparttar 150646 minimum balances on allrepparttar 150647 other cards until card #1 is done.

Then takerepparttar 150648 card withrepparttar 150649 next highest interest rate and add to its paymentrepparttar 150650 total ofrepparttar 150651 payment you were making to card #1. In other words, sendrepparttar 150652 regular monthly payment you used to send for card #1, plus any additional amounts that you used to pay on card #1, plusrepparttar 150653 monthly minimum for card #2- all to card #2. Do this until card #2 is done.

Then takerepparttar 150654 total you were paying to cards #1 and #2 and add that torepparttar 150655 payment on card #3, and so on.

Trusted Ways To Repair Your Credit.

Written by www.creditandyou.com


Even if you think you have a perfect credit report, be vigilant ofrepparttar error factor. Just as you receive mail with your name and address misspelled, your credit report can have errors just like anything else. Whether its human being error, outdated data or even id theft, mistakes occur more easily than wed all like to think.

According torepparttar 150633 law, bothrepparttar 150634 CRAs andrepparttar 150635 company that providedrepparttar 150636 information torepparttar 150637 credit reporting agency have obligations for correcting mistaken or incomplete data in your credit report.

So, if you notice an error on your credit report, without hesitation notifyrepparttar 150638 credit reporting agency in writing at once:

1. Tellrepparttar 150639 CRA what information you believe is wrong on your credit report. Include copies, never originals of documents that support your position.

2. In addition to providing your whole name and address, your correspondence should of course define each item in your credit report that you dispute. Staterepparttar 150640 facts and why you are disputingrepparttar 150641 information. Enclosing a copy of your credit report withrepparttar 150642 things in dispute circled can be beneficial.

3. Though you may take for granted your reason for writing is obvious, be sure to request thatrepparttar 150643 mistake be corrected.

4. Mail your letter by certified mail, return receipt requested so you can take note whenrepparttar 150644 credit reporting agency received your correspondence. Make certain your correspondence is dated, and be sure to keep copies of everything you send.

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