Spending too much much by using credit cards is an easy trap to fall into. Many families fall prey to this common addiction. If you are now having trouble making payments and also have other loans that are adding pressure, the last thing that you want to do is make a rash decision by filing bankruptcy. Indeed, it can be an easy process, but the long term effects of this decision can last for years. Consider these options as look to eliminate credit card debt without bankruptcy.
The first approach can really go two different ways. If you have any available funds left over in your budget you can hire someone to negotiate down the balances on your outstanding credit cards. More than likely, though, your funds are restricted and you will want to navigate this process yourself. Debt negotiation can be somewhat intimidating but can provide some immediate relief if successful. Practice walking though the discussion with your spouse. If you are still having trouble with your pitch, do a little research on the internet for some effective negotiation scripts.
A second approach to eliminating your credit card debt without filing bankruptcy is to consider debt consolidation. Consolidation loans provide a single loan in which all your other loans are rolled into. By leverage assets such as your house, you are able to get a better interest rate which could potentially lower your monthly payments. Use caution though as you don’t want to borrow more money if you have not come to grips with your spending habits. Learning to live on less than you make is absolutely vital for this approach to be effective.
In summary, there are multiple ways to eliminate debt without actually filing for bankruptcy. Take your next steps very cautiously and deliberately. At this point, the last thing that you want to do is make things worse. Talk to a financial counselor who is an expert in these matters and who can provide expert advice. Overall, decide to start living below your means which will ultimately lead to long term success.