With loans being made available for buying anything and everything, these days it is easier to get into debt than to get out of it. You can easily borrow money or use your card to buy new household items such as furniture, television, or cars. If you are not using your card wisely, you can easily end up in $20,000 or $30,000 of sundry debts. And if you take a look at your card statements, you will be shocked to find out that most financiers charge you a very high interest rate and place unfavorable terms. The interest rate may range anything from 25-30%. Here are 3 ways you can get out of this sticky situation and live a debt-free lifestyle:
1. Get yourself organized: First, collect all your credit card bills in one place. Make sure all of your debts are recorded on your card statements. If some debts are not recorded there, call up your credit card company for clarification. Then find out the debts with an interest rate higher than 10% APY. These are the debts that need your immediate attention.
2. Survey and Repair The Damage: Collect all your high-interest loans in one place and add up the balances. This should give you an idea of how much loan you have taken; consequently this will also tell why you should use the ‘loan option’ more wisely.
3. Visit your Local Credit Card Union: Credit Card unions exist to offer loans at favorable interest rates to those who are debt ridden. Take all of your credit card statements and contact a loan officer. Tell them that you want to take a personal loan so that you can pay off your debts quickly and save yourself the high interest rates. Unless you have a terrible credit, you should be able to get a decent amount of personal loan with better interest rates. If you cannot find any other good options, then check out the online money lending service called Prosper.
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