It’s common for people to toss aside credit card bills when the amount due balance makes them feel down. But waking up to the financial realities in your life is the first step to overcoming credit card debt. An article by mainst.com suggests many Americans are delusional about credit cards because they pay so much money in interest charges. In your own life, a little denial could lead to years of being stuck in debt unless you seek help. With debt counseling, you learn how to budget, improve your credit score and manage money. Many people troubled by credit card debt enroll in a Debt Management Plan to pay off all credit card debt in monthly installments. In addition to debt consolidation, there are actions steps you can take to show you are awake to your financial truth.
Earn more money
According to mainst.com, people who are successful at cutting debt realize it’s not a glamorous process, but take steps to improve the situation. One move is to get a second job, freelance or pick up independent contractor work. Brainstorm ideas for different skills you have that could earn you money.
Fight debt instead of others
Fighting about money leads to stress in a relationship, especially when you are in denial about the source of the anxiety. Some couples go out to eat at expensive restaurants or to the movies to reward themselves and ease tension in a relationship only to get into more credit card debt. Be honest with other people when you can’t afford to eat out.
Pay less in interest
A MagnifyMoney.com study shows more than 75 percent of Americans who carry credit cards pay an interest of 15 percent or higher. The average person pays more than $1,700 a month in interest. By talking to a trained credit counselor, you can learn more about debt consolidation. Your credit counselor knows how to negotiate with the credit card companies you owe money to so you pay less in interest.
It’s also wise to stop spending money to keep up with appearances or fit in with the neighbors or friends. Debt counseling gives you an action plan to identify your financial priorities so you don’t waste money and time on people you don’t need to impress. Your credit counselor will offer tips on how to open up to your family if you want to so you aren’t secretive about money or your debt. Paying off credit card debt typically takes hard work.
At Christian Credit Counselors, we make it easier for our clients to get out of debt with an automated system. You make one monthly Debt Management Plan payment so you can get out of debt quickly. Some of our clients get out of debt 80 percent faster than methods they tried in the past.
Do you want to know more about debt and how you can make smart financial decisions now that will help you secure a more prosperous financial future? Sign up for our newsletter for monthly money tips.