United Against Recession!

Tuesday, March 17, 2009

Eliminate your credit card debt! - 2

In my previous post, I mentioned about the "snowball" strategy. In this post, I would like to offer an alternate method to that.

Normally, personal loan interest rates are lower than the credit card interest rates. We can take advantage of this by consolidating all your credit card debts and take up a personal loan to pay off all your credit card debts.

You gain 4 valuable things from doing this:

Your monthly payout on the consolidated personal loan will be smaller than if you are to pay your credit card debts individually - you will free up more money from your monthly income. Good thing to have in this trying times.

The total interest paid for the loan will be smaller than the interest paid on your credit card.

In one move, you will eliminate all your credit card debts! So, no more annoying calls from the bank or debt collecting agencies.

Your credit rating can also be improved from this.

Please click here for more.

Monday, March 16, 2009

Eliminate your credit card debt! - 1

In the current economy outlook (which looks bleak as recession is here to stay for a while) - the most used strategy is to eliminate debts & increase savings.

As the income shrinks and the uncertainty of future income rises, that strategy is harder than it looks.

To increase savings, you must increase the capacity of savings - and that can only be achieved by reducing your debt.Of all the debts, credit card debt ranks among the worst. The are many reasons why and how it landed into that position - but the important reason is that the interest charged on credit cards is high.

So what is the effective way to reduce and eliminate your credit card debt?

One way is through the "snowball" effect.

Click here for more.

Saturday, March 14, 2009