Let’s Achieve Credit Card Debt Relief

…Together !

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You have probably heard the old saying that misery loves company? Well, for most people up to their eyeballs in credit card debt, finding other people who can “feel their pain” is as easy as taking a drive to the local shopping mall. Unfortunately, we can all take some solace in the fact that the increase in credit card debt here in the U.S. and around the world has affected nearly everyone…

Yep – The vast majority of us could definitely use some sort of credit card debt relief. But do the credit card companies want us to get out of debt?

Well, I’ll let the following credit card debt video explain it… (This is a HOOT!! …and so true)

What are my hopes for this site? … That my visitors and I achieve credit card debt relief – TOGETHER. I want to make this an interactive site where my visitors and I can share ideas and debt information on getting out of debt so that, hopefully, we can all achieve debt freedom and a credit card 0 balance … (wouldn’t THAT be nice!) Everyone’s situation is different, so lots of debt info will continuously be posted here (Check Back OFTEN!). As this site gains momentum and content, hopefully somewhere on this site you will find information for getting out of debt that applies extremely well to your own situation.

Huge Credit Card Debt

Is Affecting Me, Too

After having to shovel out an unexpected $12,000 basement waterproofing bill onto my credit card in 2008 (we had mold growing in our basement and our basement walls were buckling from moisture – so it HAD to be done), it brought my credit card debt up to nearly $16,000 on one credit card …(after I did a transfer card balance to consolidate all my credit cards onto one). It’s a truly helpless feeling to have that much credit card debt. As I write this about a year later, though, I’m now closer to $13,000. So I’m making progress towards my credit card 0 balance debt freedom! …(slow as it is).

Credit Bankruptcy is Growing

The majority of people who file for bankruptcy do so because they need ENORMOUS credit card debt relief (some call this credit bankruptcy or credit card bankruptcy, though as far as I can tell this is not an official term). Many file for bankruptcy because of medical bills debt (usually because they have no medical insurance). So what is their only option for paying for medical treatments and medications? – they put it on their credit cards – so it’s just a vicious cycle. Around $20 billion dollars is discharged yearly through bankruptcy. Credit cards debt is a problem in other industrialized countries too, not just in the United States. Business credit card debt is also a serious problem.

One Step to Getting Out of Debt is by Credit Card Consolidating …(or a Zero Percent Balance Transfer)

One way to achieve some measure of credit card debt relief is to consolidate the debt onto a lower interest rate credit card (transfer card balance from a high APR card to a lower APR card – preferably a zero percent balance transfer), which can also lower your minimum payment. This is basically what I did in my own credit card debt relief example above. Debt consolidation refinancing (or debt transfer) is meant to help people payoff credit card debt in a reasonable amount of time while making fewer monthly payments (preferably just ONE monthly payment). If you have a lot of credit card debt on a lot of different credit cards, AND ESPECIALLY If YOU STILL HAVE A GOOD CREDIT RATING, you may want to consider debt consolidation refinancing
(or a zero percent balance transfer).

(NOTE – Debt settling ( or debt settlement) may be a better option, if your credit situation and credit score is quite messy, such as having collection agencies and creditors breathing down your neck for way past due payments, and where your credit score has already taken a severe hit – but more on debt settlement in another section).

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My cumulative minimum payments went from a total of about $400 to around $200 almost immediately when I consolidated my debt onto one credit card – and with much less monthly debt interest – which was SUBSTANTIAL credit card relief for me! (Note: I had to pay a 3% fee of the transferred amount in order to do it, or about $320). I now try to put $300/month toward the debt payoff of my consolidated debt (I always try to pay more than the minimum payment – it’s the only way to make progress). But because of the amount I’ve already paid off in a year’s time, in a financially strapped month (like Christmas time, for example), I could make a minimum payment of as little as about $180 (which is HALF of what it would have been If I kept paying on two higher rate credit cards!). So right now I’m on pace to payoff my debt and have credit card debt freedom and a credit card 0 balance in about 4-5 years (knock on wood ).

Wait to Get a GOOD Interest Rate Before Consolidating Debt

There are a lot of different interest rates available on different credit cards so you should look for a low interest rate card to consolidate your debt (this gets tougher, however, the worse your credit score is). Fees are also a consideration when transferring balances. If you can find a "no transfer balance fee" credit card that would be fabulous luck, but finding a no fees card for a large balance transfer is rare. The best I personally could do, even though I still have very good credit, was to use an offer to transfer debt from a higher APR credit card account to a lower one – which I did. I went from a decent 9.9% APR on the basement waterproofing loan to a GREAT 3.9% APR on my consolidated credit card promotional offer, which is (supposedly) good until it’s PAID OFF!

…There’s a CATCH to this credit card debt relief option, however – If you consolidate onto a credit card offering a promotional annual percentage rate, DON’T EVER BE LATE MAKING YOUR MONTHLY PAYMENT, because they will likely jack your rate up enormously the first day your payment becomes past due (believe me, credit card companies most of the time are not in the business of doing you favors!).

Even college students are dealing with credit card debt that they can’t pay, and creditors are calling on them. Some college students have even filed for bankruptcy, according to Consumer Credit Counseling Service. College students with credit card debt have to spend many hours working to pay their debt and that takes away from their education. And bankruptcy stays on your credit report for 7-10 years. …Not the way you want to start out your adult life.

The Best Way to Get Out of Debt?

So if you remember nothing else, remember this – The best way to achieve credit card debt relief is to never allow yourself to be in it in the first place. If you do not spend more than you have and you live by a reasonable budget and within your means, you will not end up in credit card debt that you cannot pay. But unfortunately, shit happens in life too, and you simply find yourself in an unavoidable situation. If you are dealing with overwhelming debt, you can get help for free from a variety of non profit credit counseling agencies that have websites. These organizations can (hopefully) get you on the path to getting your life back, getting rid of credit card debt and eventually into the bliss of debt freedom and a credit card 0 balance. But you must recognize that it won’t be easy and that it takes a total commitment to a mindset change in managing your finances.

Here’s what a Federal Trade Commission article has to say about credit card debt relief .

(WARNING – Do be careful whom you trust when looking for credit card relief help – Get Out Of Debt Scams are all over the place, especially on the internet!).

Disclaimer – Remember that the information on this website/blog is by no means official information. While we attempt to be as accurate as possible, the content is largely opinion and entertainment based and should not be confused with official legal or financial advice. If you need help with credit card debt relief, you should seek the advice of a reputable and professional debt counselor. Further, a commission may be paid to the owner of credit-card-debt-relief.org for clicking into other sites through pay per click ads or by purchsing products or services of affiliated websites. (Please Read our Terms page for further info.)