Debt Relief: Do It Yourself

Debt Resolution

Some financial columnists suggest making a larger payment on one debt, while making minimum payments on the others. They call it chipping away your debt. In an ideal world, eventually you will be debt-free. However, in the real world, many people can’t afford all the minimum payments, or have any extra money without using the card again.  Minimum payments are designed to keep you in debt longer; taking forever to reduce the principal balance because high interest and finance charges make up the majority of a minimum payment.

Other people try to leapfrog their way out of debt. They find a low-interest card, move their balances over and start to pay them off. However, maximum use of available credit and multiple credit cards may decline a credit score ─ even with a perfect payment history. Since the attractive low rate doesn’t last forever, soon the interest rate is right back up in the double digits and the transfer fees have added to your principal as well.

Of course, you also can try to negotiate with your creditors yourself if you have the patience and persistence and know your rights and the creditors’ rights. Most of us don’t have that type of knowledge, nor the time to spend on repetitive phone calls and letters.

Count on a Professional Debt Arbitrator

Need help with your debt reduction strategy? Call Common Cents Credit Solutions and let the professional debt arbitrators help you resolve your debt issues. Call 877-332-8785 in the Phoenix, Arizona area.