The recession is a new experience for some and a previous experience for others. Some have learned there lessons and changed their spending habits for the better. Others still have not learned their lessons and are hoping the "money angel" will fall down on them and help to get them out of the mess they are in.
This is a time of great stress and fear. Many people make rash decisions without thinking things through. This also applies to paying down debt. If you owe debt and have the money to pay it off or reduce the debt owed do so.
Now is the best time to negotiate with creditors and others you owe debt to. Here are 6 ways to pay down debt faster.
1. Pay balance in full each month prior to the due date or as soon as you receive the bill which helps to avoid paying finance charges. Beware of companies who may move your due date around to prevent you from paying your bill on time in hopes of being able to charge a late fee.
2. Pay half of the balance with 1st paycheck of the month then pay the remaining balance with 2nd paycheck of the month
3. Pay weekly instead of monthly. Pay the minimum monthly payment the first week after you get the bill, and then each week pay as much as you can toward the monthly balance. Repeat this every month.
4. Pay as much as you can when you get the bill, and then pay more towards the bill when you get extra money.
5. Set up automatic payments from your checking account the day you receive your paycheck or the day after you receive your paycheck
6. Can the Customer Service Department to find out if there is a certain hour and minute you need to make your payment by.
These six steps to ensure that you get out of debt faster, increase your credit score, reduce stress, stop harassing phone calls from creditors and lead you on your way to financial freedom and a debt free life.
No comments:
Post a Comment