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more detail information about credit management at our
affiliated site: SayPlanning.com
- Is this the right option for
you:
this may be an ideal option if you have significant
credit card debt that can be paid off within a
short period (12-24 months) and if you maintain a
good-to-better credit rating
for information about your credit rating: visit
our affiliated site at SayPlanning.com
- Find transfer balance programs:
if you have a good credit rating, card issuers will
solicit you with attractive credit card consolidation
(transfer balance) programs.
You may also contact your current credit card issuer
about transferring and consolidating other credit
card debt.
Inform them that you are shopping to consolidate all
or part of your credit card debt under one card —
if your credit rating is good, they will want to keep
you as a customer.
Find the transfer program that offers a super low
interest rate at transfer terms of 6 or more months.
Anything less than 6 months is not worth the trouble.
- List your cards:
open
this window-calc and list each credit card that
has a debt balance. Insert the balance amount with
its respective interest rate (APR). Hit "Calculate"
to total your numbers.
- Payoff your cards:
take the transfer program that offers the best terms
— use the program's transfer checks to payoff
those credit cards listed
in your calc sheet that have the highest interest
rate charges.
If your total credit card debt exceeds the transfer
program's credit limit, you may need to use a second
or third balance transfer program.
- Schedule your pay down amount:
open
this window-calc to schedule an allocated amount
that significantly reduces your consolidated amount
during the transfer period.
- Maintain terms:
since most transfer programs offer card consolidation
terms of 6-12 or more months — significantly
lesser time than what you may need to payoff your
card debt — you may need to play the transfer
game when one program ends and another begins.
Keep note of other transfer balance offers that come
in the mail — hold on to those offers that carry
attractive terms.
Be careful not to jump to another transfer program
within short periods. Every time you sign up for a
transfer program, an inquiry is made to your credit
report. You want to limit credit inquiries to "one"
inquiry every "six or more" months.
See our discussion on maintaining
a good credit rating at our parent site SayPlanning.com:
click
here.
- Payoff amount:
if your budgeted monthly payment does not payoff your
credit card debt with 12-24 months, you may need to
consider a debt consolidation program under Option
3.
- Try to lower your other living
costs:
as you pay down your credit card, review our section
on lowering your monthly bills in housing, transporation,
living, recreation, and more.
Click to view
"lowering your bills"
Your monthly cost savings can be used to pay down
your credit card debt faster.
- Important note:
do not use the credit card that has your transfer
balance for any credit card purchases — many
consolidation programs will waive the 25-day grace
period on purchases and instantly charge interest
on credit card transactions.
Be sure to go
back and review Step 5 on credit card management
techniques — you want to avoid getting yourself
back in debt with your credit cards.
Additional Information about Maintain Good
Credit at our affiliated site: SayPlanning.com |
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more detail information about credit management at our
affiliated site: SayPlanning.com
- Is this the right option for
you:
this may be an ideal option if your total credit
card debt is significant and if you need a consolidation
program with payoff terms of 3 years or more.
This option is ideal for those who need to consolidate
other loan debt.
By consolidating your debt under repayment terms of
3 or more years, you basically lower your monthly
payment by extending your repayment period.
This option will review debt consolidation programs
using the security of your home (home equity consolidation
loan).
For those who don't have a home, or for those who
lack enough equity to consolidate debt, review unsecured
debt consolidation programs:  link
to Debt Info.org
- Home equity option:
by using the security of your home, you can secure
a home equity loan at low rates with repayment terms
of 5 or more years. You can use this loan to consolidate
your credit card and other loan debt.
This option allows you to setup a repayment plan with
extended terms that can significantly reduce your
monthly payment (depending on the amount being consolidated).
You can also pay extra each month to quickly payoff
your consolidation loan.
- Calculate amount to consolidate:
link
to our Debt Consolidation Worksheet and list each
credit card that has a debt balance. Insert the
balance amount with its respective interest rate (APR).
Hit "Calculate" to total your numbers.
- Set repayment plan:
use
the debt consolidation worksheet to calculate your
monthly payment
Note that your payoff term will be anywhere from 5-
to 7-to 10-years or more.
Calculate your estimated monthly payment; note the
monthly savings you can anticipate by consolidating
your debt under extended repayment terms.
Run different repayment scenarios to design a payoff
plan that works for your.
- Home equity review:
link to our affiliated site for detailed information
about home equity loans, rates, benefits, terms, and
a network of home equity lenders that service your
area:
http://www.YourEquity.com
- Lower your monthly costs:
as you pay down your consolidation loan, lower your
monthly bills in housing, transporation, living, recreation,
and more.
Click to view
"lowering your bills"
Your monthly cost savings can be used to pay down
your debt faster.
- Non-home equity option:
if you don't have a home that can function as security
for debt consolidation, review unsecured debt consolidation
options:
link
to Debt Info.org
Additional Information about Maintain Good
Credit at our affiliated site: SayPlanning.com |
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Notes: 
