Eliminate Your Debt Automatically by Ted Batron
When we carry a large number of credit cards, it is just human nature that we use them. When I was in the debt mode, I used to actually think to myself "wow, I have 50 thousand dollars in my pocket". That was a pretty destructive thought process. If you dont incur the debt, your better able to save for the future and have money ready when you need it. Change the thought process, and change the habits.
There are no friends in the credit card companies. Removing your money from your posession is their only goal. If that sounds a little harsh, the truth is that this is war, and for the most part, the companies that offer credit in a predatory fashion, and that includes all of them, are the enemy. And they are winning.
As simplistic as it sounds, just ask yourself "can I pay for this in cash right now"? If the answer is no, its ok. Just save for it. Make the payment to yourself for 2 or 3 months, and then go make your purchase. Saving for 2 or three months, is better than paying for years to eliminate your debt.
We need good interest rates on things like mortgages and car loans. Clearly, these are areas where it is probably going to be necessary to borrow money. Large amounts of consumer or credit card debt will make it difficult to borrow money for these items. When your debt is large, you are considered a higher risk and may have to go to hard money lenders who will charge extremely high rates of interest. The problem can really grow out of control.
If you can avoid debt altogether, you have really dodged a bullet. A convenience card, or an emergency card is fine. I keep it at home in my desk drawer. It is used for emergency car repair, maybe new tires or other items I cant avoid purchasing. If you can afford your emergency expense in cash, then you are still better off. Debt elimination is not quit as easy as just avoiding the debt in the first place.
If your debt has gotten to high, destroy all but your lowest interest card. Work more, or spend less and begin to repay the debt beginning with the highest interest rate card. Whatever you do, dont use the card!
It is vital to pay more than the minimum payment. Let your payments snowball, and you will eliminate your debt sooner. If you have 5 credit cards, make a higher payment on one, while paying minimum on the others. When that one is paid, apply the payment from the first card, to the next one.
Some card companies offer zero interest on balance transfers. Be careful, make sure its not a limited time offer. But if you get one of these, take it. Transfer as much as you can to the lower interest rate card, and then just dont use the card! You can eliminate your debt fairly quickly at zero percent interest.
Just imagine the feeling of freedom you will have when you no longer have to give up a large percentage of your paycheck to creditors, and you have completely eliminated your debt.
About the Author
Is debt destroying your life and are your finances are spiraling out of control? You really can Eliminate Debt and Get Your Life Back without filing bankruptcy and destroying your financial future. Take the first step to getting control now. Find out what the debt peddlers don't want you to know!
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