what is the safest way to reduce credit card debt?

Question

we were approched by a debt company by phone how do you know if they are lagitiment

Answer 1

Stop spending money you haven't got on these cards sounds like the safest was to reduce this debt to me.

Answer 2

When you ask such a question, I somehow have the feeling you already know the answer.

No, phone solicitation for credit cards are not safe. Do not even give them an inch.

Safest way to reduce debt is to pay off the balance every month and do not charge anymore until you pay that off.

One card is all you need. Having many cards lands you in trouble. Be very careful with credit. It can burn you.

If you can't pay by cash immediately when you purchase something, then use the card - but knowing that you only purchase it by card for convenience and not for credit.

If you have that principle and the discipline, you will never run into trouble with the credit card. Don't charge something that you cannot afford by cash. This is the golden rule.

Where to get it? Definitely from your bank and in person. Never from someone calling you to offer credit or on the internet. There are a lot of scam artists out there. Be careful.

Answer 3

The safest way to reduce credit card debt is to develop a budget.

This will give you a clear and distinct indication where you are speeding too much because everything is in "black and white."

When you create the budget for your household make sure if it reasonable and stick to it.

Check out this link from Microsoft. It is a Monthly Family budget template you can download to start your budget:http://office.microsoft.com/en-us/templates/TC101884081033.aspx?pid=CT101172321033

Another good method is to stop using your credit cards. If you can pay with cash or use a bank debit card instead.

Pay more than the minimum monthly payment. For example, if you monthly credit card payment is $250.00 per month. Pay $260.00 instead. A little goes a long way and the extra amount will go directly to the principal as opposed to just the interest.

If you were approached but a debt company check out their website and also check out if they have had any complaints for the Better Business Bureau.

Hope this helps.

And best of luck in reducing your credit card debt!

God Bless....

Answer 4

The BEST way, which includes safety, is to have a long term financial plan to address your financial situation.

Without a financial plan, you don't really have a good grasp of your overall situation, choices, and consequences.

So keep this in mind, and consider hiring an hourly financial planner.

But to answer your question: apply for cards with lower interest rates, and try to transfer the balances. At the same time, understand that debt companies are only helpful if you cannot make progress on your own.

Answer 5

Pay more than the minimum bal. due and stop adding more debt. Put your money coming in against your money going out on paper and work on a budget. Sometimes seeing the hard numbers written out will make things clear. Debit cards are easy to use and cause us to spend more than we realize.

Some debt co are real, but what they do is go to the credit card company on your behalf and negotiate your amout owed down, you don't know what the amount is lowered to because you now pay the debt company instead of the credit card company.

Try calling the credit card co directly and see if you can get someone to work out a deal. My brother did it, he was going thru a divorce and explained his situation and they took a couple thou off his debt. It may take a bit of time to get it done but its worth a try.

Answer 6

stay away from all people soliciting over the phone and best way to reduce a credit card debt is pay it off as fast as you can afford to . it goes much faster it you pay more than the minimum

Answer 7

You need to make SURE that you are dealing with a consumer credit counseling agency that is non-profit and that has a good record with the Better Business Bureau. (You can check them out here: http://www.bbb.org/)

We worked with Consumer Credit Counseling Services years ago, and they are a United Way agency, non-profit and really helped us. My sister used a company that their name sounded similar, but they charged heinous huge fees and then never paid my sister's bills! She ended up in more trouble than she started with and had to file bankruptcy!

Make extra sure you're dealing with a legit company because this is your financial future and there are a lot of crooks out there!

Answer 8

You could just line them all up in order of the interest charge (in percent). Start paying the minimum on them all and the max on the ones that are the most. As each is paid you roll the max on to the next one and then the next until they are all gone.

You could talk to a bank about a consolidation loan too and then pay that off as quickly as possible.

Answer 9

use your cards for emergencies only.and pay more than the minium when it is due. and never go over a 3rd of your credit limit on the card this has a tendency to lower your score and alert creditors when you want to open a new accouunt

Answer 10

1.866.605.0753 I work in this industry, If you would like to call me I will give you real honest answers. The good the bad the ulgy on debt programs.