Many people in Florida and throughout this country look for ways to save money and reduce expenses. Financial experts cite credit card debt as a burden to a majority of households. On average, consumers pay around $1,300 a year in interest on their credit cards. A personal finance website has offered several suggestions on how to eliminate that debt.
The basic premise on the website is that borrowers need to determine ways to put more money toward their credit card balances. One recommendation is to increase income, either by making more money or spending less. While it is important to reduce expenses, it is also helpful to work overtime hours or consider a second job during available hours.
In most people’s budgets, housing expenses are often the largest item. The website suggests options such as downsizing living space, renting a room, selling a home or refinancing a mortgage to save money. Experts also say to examine transportation costs. Many consumers may be able to significantly reduce vehicle expenses by walking, biking or using public transportation if available.
Education costs may be lowered by seeking scholarships, grants or loans. Filling out the Free Application for Federal Student Aid is an important step in determining if someone qualifies for assistance. Finally, the website offers idea on how to possibly lower costs for healthcare. Taking advantage of a health savings account or flexible spending account can help consumers pay for medical expenses tax-free.
Florida residents overwhelmed by credit card debt may find these suggestions helpful in getting their finances under control. However, many may seek assistance from legal counsel familiar with bankruptcy law. An experienced attorney can help someone determine whether bankruptcy is in his or her best interests.
Source: money.usnews.com, “5 ways to make room in your budget to pay off credit card debt“, Erin El Issa, Feb. 13, 2017