- Grace period
- Minimum Payment
- How much you can possibly pay
Day 2. Call/Write each company: Tell them you are working on paying your bills off and you would
appreciate any help that can give. Ask if they can lower your interest rate and/or extend to you a 0 % APR
for a certain number of months. Negotiate any other fee like an annual fee if you have one, late fees and
even some of the interest accumulated. Also see if payments can be deferred without charges. If all
companies refuse keep calling till you strike gold. Of the million NOs you will get a YES, it is simple
probability. Look for cards that have 0 % APR introductory and allows for balance transfer.
Send a certified letter to the credit card companies also, stating your request. If you are ever taken
to court, what better proof than a letter emphasizing the fact that you are taking a proactive role in
trying to get out of debt.
Day 3. Find Money: Look around your home. There are plenty things you have that you can sell to pay
down your balance – clothes, shoes, jewelry or that flat screen TV you are financing.
|
Day 4. Organize yourself/Budget: Take a good look at yourself. Are there things you can do without
for a period of time, like eating out, getting your hair done, buying snacks and others. Put yourself
on a strict budget but not too strict that you are not able to follow.
Day 5. Decide your payments: Once you have negotiated your low interest rates and/or new balance, add it
to your list. From your budget, determine how much you can pay monthly. From the balance, interest rate
and method of interest calculation, determine which card will cost you the most. Pay the minimum payment
on each card and the excess should go to paying off the card which will cost you the most.
|
