A Plan to Reduce Credit Card Debt
If you are contributing to a staggering sum of outstanding credit card debt in America, you need to start digging your way out, and the sooner the better. Debt can stand between you and your financial goals, such as buying a home and being able to fund your retirement. Here are some simple steps that may help you start paying down those charges.
Step 1: Consolidate and pay aggressively. One approach to paying off debt is to become systematic and aggressive. If possible, try to consolidate your balances into one card with the lowest interest rate. Then cut out some of your indulgences — lay off the morning coffee fix and brown bag your lunch. The $50 to $200 a month you can save by making a few small sacrifices should go right into your credit card payment. If you can’t consolidate your debt, start with the card with the highest interest rate, and double or triple your monthly payments until you eliminate your balance. Then do the same thing with the next highest interest rate card, and so forth.
Step 2: Pay debt first, invest later. Conventional wisdom states that if you can earn a higher after-tax return on your investments than the interest rate you are paying on your debt, you should invest. Otherwise you should pay off your debt.
Step 3: Ask for a lower rate. You can accelerate the pay-down process by calling your card issuer and asking for a reduced interest rate.
It may take months or even years, but becoming debt free is your first step to true financial freedom. It is also a prudent move for individuals who are nearing retirement.
© 2019 DST Systems, Inc. Reproduction in whole or in part prohibited, except by permission. All rights reserved. Not responsible for any errors or omissions.
For more information, please call Householder Group at 661-297-7566.
ADVERTISE WITH US
A Note From the Publishers – April 2024
We simply couldn’t resist! Our covers are in high demand, so this month, we are thrilled to feature four non-profits, each promoting their upcoming events. Each event offers its own unique experience, showcasing the diversity of our community.First on the list...
Wine on the Roof Returns on April 25, 2024
\Wine on the Roof will take place on Thursday, April 25th from 6:30-10pm at The Centre (the former Sports Complex at Golden Valley/Centre Pointe Parkway in Santa Clarita). This unique fundraising event benefits the WiSH Education Foundation and features a SIX...
SCV Senior Center Prepares for Celebrity Waiter Celebration Saturday, April 27, 2024
The SCV Senior Center is preparing for their annual fundraising event – Celebrity Waiter – with the theme – “California Dreamin’” on Saturday, April 27th at Bella Vida. Table Sponsorships are still available.The headliner for the event is “Surfin’” – A Beach...
ABOUT THE MAGAZINE
Santa Clarita Magazine has set a high standard for excellence in advertising for over 34 years. A family owned and operated business, Santa Clarita Magazine has grown with the Santa Clarita Valley since 1990 and become the #1 place to advertise locally.
FOLLOW US
SANTA CLARITA MAGAZINE
PO Box 801570
Valencia Ca 91380
For Advertising information
Call or Text: 1 (661) 294-4444