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Methods to reduce credit card debt

On Behalf of | Mar 24, 2018 | Credit Card Debt, Firm News

Many Florida residents and others across the country use credit cards for a variety of reasons. Some use them for large purchases to earn points in reward programs and plan to pay off the balances each month. Others, however, may use the cards to make it from one paycheck to another. Unfortunately, in these circumstances, credit card debt can mount quickly. According to a financial blog founder, there are several ways to tackle the card balances and reduce the amount of debt.

Experts suggest transferring card balances to another card with a zero percent introductory rate. Paying the same amount to the card every month will go further if none of the money has to go toward interest. Another helpful tip is to consider automatically deducting money from earnings to go into savings. The extra money saved can be designated to pay credit card balances.

While it may not appear to be the most effective approach, financial analysts recommend that individuals pay off the cards with the smallest balances first. This approach will allow consumers to experience successes more quickly as the debt is reduced. It is also helpful to search for ways to reduce spending for everyday expenses. This also results in more money available to devote to paying the credit cards.

Other individuals saw quicker results when they decided to make credit card payments more frequently, such as weekly other than monthly. Finally, any extra funds can make a big difference to the card balances. For example, monetary gifts, bonuses at work or tax refunds should be applied to the debt rather than for something that is not a necessity.

Credit cards can be very useful to Florida consumers. However, credit card debt can be overwhelming if not kept under control. Those needing assistance in getting their finances back in order should contact an experienced bankruptcy attorney. A trusted lawyer can help clients develop plans to reduce or eliminate their credit card balances.

Source: nerdwallet.com, “6 Tricks to Kick Credit Card Debt Quicker“, Claire Tsosie, March 16, 2018

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