In today's cashless world, more and more people will charge your credit card instead of paying with cash on their purchases. There is extra wonder that more and more people are trapped in credit card debt. Credit card debt relief solutions have been among the hot topics in Internet search shows that many people are looking for a solution to relieve themselves of credit card debt. What's the most efficient way to pay the credit card debt? The answer surprising, since it is so hard to get rid of debt faster and pay less in interest.
If you plan to be debt free credit card, first you need to change their behavior in terms of credit from your purchases, before talking about how to reduce and eliminate their way out of debt. You must adopt a "Cash is King 'in all policies of your purchase, if possible, and stop using their cards. The purpose of not using your cards is to avoid adding additional debt on its existing debts while you work out to clear it.
Then read the balance on your credit card. Multiply by a factor of 0.5, and the result is the amount you need to pay your next payment. For example, if you have a $ 1,000 credit card balance first payment is $ 500. In the second month, multiply the new balance of the month with 0.5, which will be the second payment. Repeat the step every month to pay 50% of it. In doing so, your credit card debt will be paid in 6 to 8 months.
In terms of interest, if the exact calculation of interest you pay off, you'll be surprised how much interest you will save with just this simple method of payment. For example, if you have credit card announced 15% interest rate, paid only 2.5% interest by paying 50% of the total balance each month. You may have difficulty paying 50% of the first payment, especially if you have lots of credit card debt, but you can make it possible to monitor and control your spending so you can spend more money of their income to pay toward your credit card debt. You may need to get a second job to earn extra money for debt repayment.
Another small or advice, if you really need to use your credit card to buy large purchases, you should structure the large purchases where you can pay at least 50% of payment plan. For example, you want to buy a $ 1000 computer, but only have $ 500 in cash on hand and want to use the computer immediately, then you have no choice but to borrow money through credit card. Then do it with your credit card, and the immediate payment of $ 500 and then 50% in subsequent months until clear. Summary
is possible to pay your credit card debt faster, while saving you big money online using the simple method above. You can only enable if you really have a clear intention that the work out so that you can pay 50% of your balance each month.
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