How can I get out of credit card debt when I live paycheck to paycheck?
Answers:
just pay one bill at a time
You have to budget yourself. You set aside a certain portion of funds that you will need to pay off your debt. You can also settle with them sometimes for half the amount of your total debt and payback sometimes (depending on the company) monthly installments. You first can knock out the smaller credit debt and then go after the bigger ones.
begin to really look at where your money is going. do you eat out? rent or purchase videos? stop for a daily newspaper, coffe and snack? you get the idea. figure out where your money is going and break that habit then put that exta money on your debt. also cut up the cards.
Start budgeting and cut your expenses. Everyone I have every know that lived paycheck to paycheck or was in financial trouble had a ton of expenses they could cut back on. Things like pack a lunch instead of going out, don't buy frozen or other convenience foods, quite going to movies, etc.
Get a second job.
Try debt stacking. Sort all your debt from highest to lowest interest rate. Pay extra on the card with the highest rate. Don't pay extra on any of the other debts, only pay the minimum due. Apply all extra money to the debt with the highest rate to pay it off as soon as possible. Once the highest rate debt is paid, start with the 2nd highest. Take the payment you were making to the first debt and add it to the minimum payment on the 2nd highest. Once the 2nd highest interest rate debt is paid off, go to the 3rd increasing the monthly payment by the amount you were paying on the loan that was just paid off.
For a more detailed description, you can google the term "debt stacking" or "accelerated debt payoff".
You can also try getting a low rate introductory offer (sometimes 0%) on a new credit card and pay off the other cards with a balance transfer. Continue to pay the same amount you were paying to all the cards to the new card. Since the introductory rate is lower, you will be paying more toward principle.
Six months later when the introductory rate ends, you can do the same thing with a new card. Open a new account and transfer the balance to the new card with the low rate. Continue paying the same amount or more if possible.
if your serious.
visit daveramsey.com to learn what you haven't been taught. see some of the ideas above.
also get
'48 days to work you love' + 'what colour is your parachute' read and apply - you may have a career/job limitation at this time.
get 2 more jobs - great places to go when your broke n debt. cut back on everything except food shelter transportation.
if your car cost more than a weeks wages-sell it. get a pos cash car. car note cost the average person 25000$ they don't have.
Hi,
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http://creditsolution.ez-mart.biz...
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