Excessive credit card debt is a nightmare of a problem. Unfortunately, there are a lot of people today who are trapped in this predicament. How do you work your way out of extreme debt? Credit card debt consolidation is generally regarded as the most important step in reducing and eliminating your credit card debt.

Credit card debt consolidation is a strategy to consolidate debt from multiple credit cards into fewer credit cards (ideally just one or two). This process is also sometimes referred as a balance transfer, where you pay off the balance on one credit card by transferring it to another card with a lower interest rate. Continue Reading »

Do you ever wonder if there should be a 12 step program for people who have a problem with credit card debt? The idea might not be as ridiculous as it sounds. The 12 step program is one of the most successful therapy programs there is for helping people with addictions. And in a lot of ways, our love of credit and of buying things using our credit cards amounts to an addiction.

And like people who are suffering with an addiction, many times the biggest step forward is when you recognize that you have a problem. Too often when someone has the beginnings of a credit card debt problem, there is a sense of ambivalence and “just let it go” because after all “everybody does it”. And when you have a small problem that threatens to become a huge problem, that is no time to be lazy and decide to let it continue just because you think everybody does it.

That attitude of “ah well” is exactly why the credit card companies are making record profits. If we all would get mad because they are enslaving our family budgets, we would rise up and throw them off and the world would change dramatically for us. But we can’t fix the world. But you can fix your own credit card “addiction” and maybe even use some of the principles of 12 step programs to get started. Continue Reading »

Credit card debt consolidation is a term that gets thrown around on television quite a lot. You see so much advertising for this service that you have to know that someone is making a lot of money off of people like you and me that have serious credit card debt problems.

But once you understand what credit card consolidation is and how it is accomplished, it is very likely you can accomplish the same goals and get the same benefits without paying anyone an excessive fee.

The reason these services have sprung into existence is that with the economy being so difficult and with prices for gas and so many of life’s necessities going higher and higher, many people are spreading their debt over many credit cards. The result is an average family might have three or four or even more credit cards with high debt run up on them and the interest fees being charged can get quite high. Continue Reading »

Credit card debt is the kind of thing that can go from a convenience to a cruel taskmaster in a short time. Very often the reason you have a credit card debt problem may not be anything bad about you. It only takes a few bad breaks to drive your debt level dangerously high. Some unemployment, a few high medical or home repair bills or other unexpected expenses and before you know it, you have a big problem.

There are a lot of advertisements for credit card debt consolidation. The first word of caution we all should have about using these services is be careful. A good rule of thumb is that if they have money to advertise on television, they are going to make money off of you in some way, shape or form. If you have bad credit and few resources to tap to get that problem under control, the interest rate on the debt consolation could be just as much of a prison as the debt itself. But there are good services out there too so just shop wisely. Continue Reading »

There has been an ongoing skit on the David Letterman Show called “Stupid Pet Tricks”. It was an aptly named bit because the things people teach their pets to do are truly silly. Letterman did so well with that skit, he followed it up with another series called “Stupid People Tricks”. Well, when it comes to the dozens of credit card offers that you get in your mailbox every week, you might think that some of these credit card companies would like to be on the next series called “Stupid Credit Card Tricks”.

These promotions that you get for credit cards seem to be playing on just about every tactic they can find to get you to take out yet one more credit card. You would think that the fact that credit card debt is a virtual epidemic in this country would let the credit card companies know that it’s time to get on the side of the consumer to learn responsible use of credit. Instead they do all they can to get you to have more, not less, credit cards and use them as much as you can.

The stupid credit card tricks can be really fun to look at and sometimes enticing. They will appeal to your sense of school pride by giving you a credit card in your college school colors. You can get credit cards that give donations to save the environment, help the poor or create a college fund for your kids. There are all kinds of premiums, cash back concepts, frequent flier miles and gifts and toys that credit card companies will fork over just to lure you into getting more credit cards and using them a lot. Continue Reading »