Consolidation or Negotiation

• When it comes to settling your high interest rate credit card debt, you have many options, but two of the easier options to execute are consolidation and negotiation. With consolidation you can get a personal loan, use the equity in your home to get a home equity loan or you can use a lower balance credit card account and put all of your high interest debt under one account with a lower interest rate. In credit debt negotiation, you call up your creditors and negotiate an amount that will satisfy your account that you and the company can live with. Then you negotiate a monthly payment that fits your budget. Once you have consolidated or negotiated your debt, you then need to get your finances organized.
  
  

Organization

• Paying off your credit card debt requires enough money to pay the minimum payment on your consolidation loan or your negotiated pay-off amounts. Create a monthly budget that allows you to compare your incoming revenue to the cost of your outgoing bills. Determine how much you need each month in entertainment funds, essential expenses such as food and gas and then your bills. Take the extra amount and apply that toward paying off your debt. Getting organized will allow you to use cash instead of credit, and help you to repair your credit rating as you pay off your credit card debt.
  
  

Extra Cash

• The fastest way to eliminate your credit card debt is to have as much extra cash on hand as possible. Go through your monthly expenses and work on areas where you can reduce spending and free up more money to go toward your bills. Reduce your cable service to basic cable or eliminate it completely, get rid of your land line phone and just use your cell phone or get on a budget plan for your electricity and gas to help budget for that payment each month. Take on a part-time job to generate extra cash to help pay off your debt or try and take on more hours at your current job to make overtime.