So you are on your way to being free of debt and you are slowly but surely paying down your credit cards and credit lines etc…As we talked about this yesterday, it’s easy to delude ourselves of how much we are really paying because of the oh so wonderful interest that is on everything these days.
But what if you could reduce that interest rate by simply transferring your debt elsewhere?
Look, some of us have loyalty to certain companies because we have been with them forever, however, the brutal truth of the matter is, most of the time, they are not loyal to you. They are loyal to making as much money off of you as you try to pay off your bills. They are into the business of making money as they should. But you are into the business of saving your money as you should.
The faster you learn this lesson the easier it will be on your wallet.
Here is an example on how you can decrease your debt without paying anything extra.
Your credit card company gives you a rate of 19.9%. Go online and look at introductory offers and you will see there are some hungry companies that are willing to offer you introductory rates that are real low or even 0% for a set amount of time. Sometimes 6 months, sometimes a year, depending on the offer. If you transfer your amounts to this card, you will save %19.9 for the time of the offer, reducing your amount without the interest that is eating away at your payments right now at the tune of 19.9%.
Go to any search engine and write: LOW INTEREST CREDIT CARDS. As with anything else online, double check if they are a reputable company. Ask around if you need to.
Can’t change company because your credit is not so good. Be a go-getter and call the credit companies and have them reduce your interest rate. Some might give you a hard time, ask to speak to a supervisor. Bug them long and see what you can get, any reduction is savings right back in your pocket!
Just remember not to get into the trap of not paying it off or you can end up in a revolving door of credit cards forever! And that never offers freedom to anyone!
Coming up next…Snowball your debt! I love this one and can’t wait to start doing it!
Have a great weekend everyone!