Do you Need Credit Card Debt Settlement?

I have tried talking to few of my friends about their debt to explore possible solutions. However, they are quite reluctant to talk about it every time I initiate the conversation. Even the clients who arrive in my office to seek professional advice, are quite unwilling to disclose debt related problems.

If you are amongst such people, let me tell you, if you go to a credit card debt settlement company, you would have to disclose every possible detail. Until then, they wouldn’t be able to derive a proper plan for you. However, if you still don’t feel safe or comfortable talking to them, here are few things you can do to keep reduce your debts, without having to contact such debt settlement company.

1.    Introductory Rate is a Temporary Luxury

No credit card company would provide you a card with 0% APR for lifetime. All such lucrative rates you see on TV commercials or posters are for limited period, usually for 6 months or a year. As soon as the introductory period ends, the APR increases radically. Even if you transfer your high interest balance to a lower one, make sure you repay the amount before such introductory period ends.

2.    Make Sure You Know What’s Written in Fine Print

Whenever you fill-up an application form or receive a welcome kit, either at the bottom, or behind the main information page, there would be some conditions mentioned in fine print. The reason why they use such diminutive fonts is they don’t want you to read any information mentioned there. It would have something like “You interest rate would be increased to x% if you don’t make payments on time” or other such things that are generally unacceptable by the consumer.

3.    Know What Factors Affects Your Score

Just being aware about what are the factors that affects your credit score would help you to maintain it. Did you know that every time a creditor (when you inquire about a loan) calls up the bureau, you lose 3 points from your score?

Even if you don’t seek help from credit card debt settlement companies, you can reduce your debt and improve your score by doing the above things.