If you are using a credit card then its not unusual to have debt with it. Many people use more than a single card and thus the chances are that they have quite a bit of debt built up with those cards. And there are those who prefer to max out on each card and pay only the minimum, while they can still afford to do so. In fact, sometimes its a fact that credit card debt is further financed by a new credit card – making the application for another card only to be able to keep paying the minimum balance of all the other cards.

So what happens when all your cards are maxed out? What happens when you’ve applied for a number of credit cards and you have reached the hilt on them all, only this time when you apply for another you are rejected? Well, some people cut up their cards or shred them in a way that they hope that all the debt disappears just like the card just did. Others put those cards in a place where they hope they cannot find them. Again though, this will not ultimately help matters at all – its too late.

What to do if you are either in this position or getting fairly near to it? I suggest the first thing is to take stock. Sit down and write down precisely how much debt you have, who you owe money to and what amount. This way you are not now avoiding the problem and you are starting to face up to the fact you need to do something about it. It may not seem like much to do this – sit and note down your debt, but it is, actually. Its a big step in the right direction – the direction you will have to take sooner or later and the sooner the better.

Okay, so what can we do to improve things? There are a number of ways to make progress depending on your circumstance. One is consolidation. This is where you take out a loan or get a credit card where you can transfer all other balances to. Thus you are getting a nicely competitive interest rate on this one loan and also its much easier to manage. Pay one bill each month rather than 5 or 6 or however many you do currently. Another method to handle this scenario is to take the most expensive credit card and target that one above all others for making the largest payments to. Its a psychological boost as well as financially sensible move to make. Other than this you can simply target the card with the smallest outstanding balance and pay that off first. It may not seem like a sensible move but its a real psychological bonus to have cleared the first credit cards balance in full. Motivation is key to success here so its a case of tackling things not only in the best financial way but also in a way that makes you feel a bit better.

There are many ways to progress even when your own debt seems insurmountable. If this is the case its wise to seek some professional help. DO not bury your head in the sand and think it will all go away. It does not just go away. But if you tackle it head on, often with the help of a professional, then yes, it will go away for sure!

Disney credit cards are great cards all round. Disney rewards credit cards are an ideal compliment to your Disney World trip so check out just how much they can help you enhance your Disney trip even more!

Share and Enjoy:
  • Print
  • Digg
  • Sphinn
  • del.icio.us
  • Facebook
  • Mixx
  • Google Bookmarks
  • Blogplay

Related posts on loans for people with bad credit:

  1. Eliminating Credit Card Debt – If You Are Not Doing It Yourself, Debt Settlement Costs Too Much Debt Settlement, debt negotiation, and debt consolidation, are terms used by firms who charge fees to negotiate lump sum settlements with credit card companies. Regrettably, these companies do a much better job of eliminating your worries with a false sense of security than they do of eliminating your credit card...
  2. Debt Reduction Solutions Have you ever wondered what debt reduction solutions are all about? This informative report can give you an insight into everything you've ever wanted to know about debt relief grants....
  3. Did You Know That You Can Legally Erase 60% Of Your Credit Card Debt Many people who have credit debt have not read the correct information, so they think they have to continually make their minimum payments or a collection agency will call them and in their credit report will suffer. You can now legally and ethically get out of your credit card debt....
  4. Control your Credit Card Debt Any kind of debt such as credit card debt needs to be quickly addressed if one wishes to establish a healthier financial life. You can begin with a basic technique such as budget planning or other saving methods, but the truth is it is more difficult than it seems. This...
  5. Secured And Check Card Differences There are lots of differing kinds of mastercards. Some offer rewards, others offer low rates, others are excellent for balance transfers, and some visa cards are even secured against your own funds to help you build credit. Some are just check cards that permit you protection in buying, but aren't...

Tagged with: • • • •

Filed under: credit cards

Like this post? Subscribe to my RSS feed and get loads more!