Many people accumulate a significant amount of debt during the holidays. It can be difficult to go into the new year with debt. However, there are several things that you can do if you have accumulated debt from the holidays.
The first thing that you will need to do is look at the balance on all of your credit cards. After that, you will need to contact the credit card companies. Ask about the interest rates. The Federal Reserve has allowed banks to increase interest rates. That is why it is a good idea to find out about the interest rate.
You should also find out if you can get a balance transfer. If you get a balance transfer, then you may not have to pay any interest for 12 months. However, you should only do a balance transfer if you are confident that you will be able to pay the loan off within the next 12 months.
The next thing that you will need to do is come up with a plan to start paying down the balances. Paying off debt is a lot like losing weight. You have to lose weight slowly in order to get the best results. You should take the same approach to losing weight.
You should designate a certain amount of money that will go towards paying off your debt per year. If you struggle with your debt, then you should contact the National Foundation for Credit Counseling. A credit counselor will review your debts and put together a plan for paying them off in a certain amount of time.
Furthermore, you can take out a personal loan to pay off your debt. Personal loans typically have a lower interest rate than credit cards. This will allow you to get out of debt faster.