Pay Off Credit Card Debt

Categorized: business, finance | No comments

You may think high interest from bad credit personal signature loans are the worst thing that happened to Americans but think again because there are a lot who are buried in credit card debt. Our need to have things immediately is the major cause for this and we just seem to lose control when we see offers for zero interest up to 12 months.

I am sure that you have heard of the story that if you’ll throw frogs into a pot of boiling water, it’ll immediately jump out to protect itself. However if you put it in a pot of cool water and gradually turn the heat up, it will choose to stay there until it dies.

This reminds me of what happens to most of us when we walk into a store and get offered with a $4000 couch for zero interest in 12 months and you may start paying after the first year. More often than not, you will bring the couch home and opt to wait for a year before making a payment.

In doing this, you will probably end up paying $8000 because you think that your finances will be in better shape next year therefore you won’t mind paying interest.

Funny as it may sound, a lot of us are guilty of this behavior and we should stop it as soon as we can.

What you can do is start paying for it immediately while there is zero interest. Pay for it in 11 months instead of 12 just to be safe. Set up an automatic payment plan so that you won’t have to worry about missing a payment.

In addition to an automatic payment plan that pays all your debts including unsecured bank loans, set up another that would make automatic savings to your bank account. In this way, you would only be able to access whatever is left.

Other articles of interest include topics: bad credit financing, secured debt consolidationdebt consolidation options, debit consolidation, bad credit bank loans.

Tagged with: , ,

No comments yet.